The loss of safe-haven support has also put the Swiss Franc under modest pressure this morning,although prices have gravitated towards the middle of last Friday’s sizable trading range. Recent volatile priceaction may be another sign that the Swiss Franc is getting “top-heavy” at these current price levels, but it wouldlikely take some fairly robust US data this morning in order for the market to retest last Friday’s lows again. TheDecember Swiss may find near-term support around the 111.74 level, and may need to see some fairly strongresults from this week’s upcoming Swiss economic data in order to hold its ground within this recent tradingrange.
Technical Outlook
CHF (DEC): Rising stochastics at overbought levels warrant some caution for bulls. The market’sclose above the 9-day moving average suggests the short-term trend remains positive. It is a slightly negativeindicator that the close was under the swing pivot. The near-term upside objective is at 112.96. The market isapproaching overbought levels with an RSI over 70. The next area of resistance is around 112.52 and 112.96,while 1st support hits today at 111.62 and below there at 111.15.