While the consolidation effort just above 1.0497 hints at some form of a temporary bottoming in the Swiss, expectations of an eventual deal with Greece, hawkish dialogue from the US Fed and lingering bank regulatory troubles would seem to leave the bear camp with an ongoing edge. Sell rallies back up to 1.0660 in the March Swiss.
Technical Outlook: The major trend has turned down with the cross over back below the 40-day moving average. The daily stochastics gave a bearish indicator with a crossover down. Daily stochastics are trending lower but have declined into oversold territory. The market’s close below the 9-day moving average is an indication the short-term trend remains negative. It is a slightly negative indicator that the close was lower than the pivot swing number. The next downside objective is now at 104.05. The next area of resistance is around 106.11 and 107.12, while 1st support hits today at 104.57 and below there at 104.05.