Not surprisingly, the Swiss forged another fresh high for the move and part of those gains might be theresult of the S&P downgrade of the Netherlands and part of those gains might have been the result of dialoguefrom the ECB overnight. Some players might be relieved by the news that the Swiss rejected a maximum payinitiative, as passing that regulation could have caused an exodus of capital and jobs from Switzerland. Up trendchannel support in the Swiss is seen at 109.89 and that support level rises to 110.01 on Monday. Initial resistanceisn’t seen until 110.72 and that level moves up to 110.81 on Monday.
Technical Outlook
CHF (DEC): Studies are showing positive momentum but are now in overbought territory, so somecaution is warranted. The market’s short-term trend is positive on the close above the 9-day moving average. Themarket could take on a defensive posture with the daily closing price reversal down. The market’s close below thepivot swing number is a mildly negative setup. The near-term upside target is at 110.89. The next area ofresistance is around 110.51 and 110.89, while 1st support hits today at 109.87 and below there at 109.61.