As the Syria chemical weapons US lead military response continues to calm down, the Franc is losing its safety luster. Broad based Franc selling continues to let the air out of an overbought currency. If Obama’s speech tonight carries less intervention rhetoric and more acceptance of the Russian disarmament proposal, then the Franc could slide further.
Technical Outlook
CHF (SEP): The cross over and close above the 60-day moving average is an indication the longer-term trend has turned positive. A bullish signal was given with an upside crossover of the daily stochastics. Daily stochastics are showing positive momentum from oversold levels, which should reinforce a move higher if near term resistance is taken out. The market’s close below the 9-day moving average is an indication the shortterm trend remains negative. Market positioning is positive with the close over the 1st swing resistance. The next upside target is 108.17. The next area of resistance is around 107.79 and 108.17, while 1st support hits today at 106.75 and below there at 106.10.