Flash: USD/CHF allowing for further slippage – Commerzbank

FXstreet.com (London) - Karen Jones at Commerzbank said USD/CHF came under increasing downside pressure last week. It eroded the March high at 0.9568 and currently her team would allow for further slippage, they suspect that this will be slight and the slide will ideally terminate circa the 55 day ma at 0.9472 for recovery.

She explained that the Elliott wave count on the daily is suggesting this scenario. They are unable to rule out the possibility of a slide to the 200 day ma at 0.9359 and the 0.9320 2013 uptrend. However, provided that dips hold over 0.9320 uptrend, she said the longer term bull move is intact, and adds that the intraday rallies are likely to struggle 0.9590, 0.9650. Above here should re-focus attention on to the 0.9840 May high – target remains the 0.9972 2012 high.