The inability to make a decisive move through the 111.00 level may be coming back to haunt the SwissFranc this morning as prices are staying well clear of last Friday’s highs. While it will maintain a clear advantageover the Dollar as a safe-haven destination, calmer global markets are likely to keep the Swiss Franc on thedefensive early this week. The December Swiss should find near-term support around the 110.50 level, and mayhave trouble holding at these current prices levels unless global markets shift back into a “risk off” mood.
Technical Outlook
CHF (DEC): Stochastics are at mid-range but trending higher, which should reinforce a movehigher if resistance levels are taken out. The market’s short-term trend is positive on the close above the 9-daymoving average. It is a mildly bullish indicator that the market closed over the pivot swing number. The near-termupside target is at 111.30. The next area of resistance is around 111.12 and 111.30, while 1st support hits todayat 110.74 and below there at 110.53.