Like the Euro, the Swiss might have become short term oversold and due for a temporary bounce. Downtrend channel resistance is seen today at 1.1170 today and that resistance line falls down to 1.1160 on Friday.Given slack Swiss economic readings of late, we suspect that short covering action in the Swiss will be limitedand fleeting in nature.
Technical Outlook: Daily stochastics are trending lower but have declined into oversold territory. The closebelow the 9-day moving average is a negative short-term indicator for trend. The market tilt is slightly negativewith the close under the pivot. The next downside objective is now at 111.04. With a reading under 20, the 9-dayRSI indicates the market is extremely oversold. The next area of resistance is around 111.52 and 111.72, while1st support hits today at 111.18 and below there at 111.04.