USD/CHF set to slide below the 0.9000 level – Commerzbank

USD/CHF probes the early February high at 0.9046. A break below here would introduce scope for a dive towards the 0.8926/31 May lows, Axel Rudolph, Senior FICC Technical Analyst at Commerzbank, reports.

Initial resistance is the 55-DMA at 0.9100

“USD/CHF came under increasing downside pressure last week following its recent failure at the 4-month downtrend at 0.9213 and has now closed below the 0.9075 200-day ma and reached the early February high at 0.9046.”

“The pair is on the defensive and there is scope for the 78.6% Fibonacci retracement at 0.9000 and the 2021 support line at 0.8984 to be reached. This is the last defence for the 0.8926/31 May lows.

“Initial resistance is the 55-day ma at 0.9100 and the 0.9117 15th July low.”