The Swiss is seeing only a margin bounce this morning in sympathy with a minimal recovery in the Euro. The threat of retaliation against additional sanctions from Russia and looming gas talks with Russia next week,might limit the upside in the Swiss as Russia might be expected to use energy as a weapon this fall and winterand that in turn could hurt European economies that border Russia. Traders should consider selling a minorbounce in the Swiss today, looking for a return to the June lows and the potential for the lowest Swiss pricingsince January.
Technical Outlook: Daily stochastics are trending lower but have declined into oversold territory. Themarket’s short-term trend is negative as the close remains below the 9-day moving average. The swing indicatorgave a moderately negative reading with the close below the 1st support number. The next downside target isnow at 111.00. The next area of resistance is around 111.54 and 111.83, while 1st support hits today at 111.13and below there at 111.00.