While seeing a fairly sizable pullback from the overnight highs, the Swiss Franc has managed to hold itsground in positive territory as it received a decent amount of support from a sharp jump in the Swiss ZEW surveythis morning. However, the Swiss Franc looks to be in a vulnerable technical position and could be see downsidefollow-through if US data can exceed markets forecasts. The December Swiss should find decent support aroundthe 109.57 area, but still remains vulnerable to a sizable downside move over the near future.
Technical Outlook
CHF (DEC): The market now above the 60-day moving average suggests the longer-term trendhas turned up. Momentum studies are trending higher from mid-range, which should support a move higher ifresistance levels are penetrated. A positive signal for trend short-term was given on a close over the 9-bar movingaverage. The close over the pivot swing is a somewhat positive setup. The near-term upside target is at 110.21.The next area of resistance is around 110.03 and 110.21, while 1st support hits today at 109.53 and below thereat 109.20.