The down trend in the Swiss continues with another lower low on the charts. The currency continues to slide despite a better than expected Swiss growth result from the 4th quarter. In fact, Swiss growth was effectively twice the muted expectations and with the Dollar showing signs of ranging upward, we have to think that the Swiss has already become entrenched below the 1.05 level.
Technical Outlook: Momentum studies are still bearish but are now at oversold levels and will tend to support reversal action if it occurs. The market’s close below the 9-day moving average is an indication the shortterm trend remains negative. It is a slightly negative indicator that the close was under the swing pivot. The next downside target is 103.74. The next area of resistance is around 104.74 and 105.22, while 1st support hits today at 104.00 and below there at 103.74.