A bumpy overnight session has left the Swiss Franc near unchanged levels, but the failure to take outyesterday’s high and climb above the 50-day moving average may not bode well for its near-term prospects. Themarket will need to see strong results from their sentiment and trade numbers later this week to deflect attentionaway from chronically low Swiss inflation, which has limited the Swiss Franc’s ability to sustain upsidemomentum. The December Swiss should find decent support around the 109.30 level, but remains vulnerable toa sizable downside move.
Technical Outlook
CHF (DEC): The major trend could be turning up with the close back above the 60-day movingaverage. The stochastics indicators are rising from oversold levels, which is bullish and should support higherprices. The market’s close above the 9-day moving average suggests the short-term trend remains positive. Themarket has a slightly positive tilt with the close over the swing pivot. The next upside objective is 110.36. The nextarea of resistance is around 109.96 and 110.36, while 1st support hits today at 109.16 and below there at 108.77.