Like the Euro, the Swiss remains under a negative technical cloud and the downward bias is accentuatedby disappointing Swiss economic readings. Apparently a Swiss consumption measure dropped overnight, but thatwas partially offset by a marginally positive 1st quarter Swiss GDP result. In the short term, the path of leastresistance remains down in the Swiss, perhaps because of the looming expectation of easing from the ECB nextmonth. Near term downside targeting is seen at 1.1100.
Technical Outlook: Daily stochastics declining into oversold territory suggest the selling may be drying upsoon. The close below the 9-day moving average is a negative short-term indicator for trend. The daily closingprice reversal down puts the market on the defensive. It is a slightly negative indicator that the close was lowerthan the pivot swing number. The next downside objective is now at 111.02. The 9-day RSI under 20 suggeststhe market is extremely oversold. The next area of resistance is around 111.78 and 112.11, while 1st support hitstoday at 111.24 and below there at 111.02.