Like the Euro, the Swiss remains entrenched in a downtrend pattern on its charts. With Swiss and EUofficials generally pleased with the recent pattern of declines in European currency exchange rates, technicaldamage mounting and the dreaded deflation threat still hanging over the trade, the next downside target in theSwiss is seen down at 1.1140.
Technical Outlook: Daily stochastics are trending lower but have declined into oversold territory. The closebelow the 9-day moving average is a negative short-term indicator for trend. The market’s close below the pivotswing number is a mildly negative setup. The next downside objective is now at 111.28. The 9-day RSI under 30indicates the market is approaching oversold levels. The next area of resistance is around 111.85 and 112.05,while 1st support hits today at 111.47 and below there at 111.28.