While the move in the Swiss wasn’t definitive overnight, the bias in the Swiss is pointing downward. Weakness in German PPI results, news of higher UK government borrowing and signs of Russian troopmovements toward the Ukraine border seems to have left the Swiss off balance. Initial support is seen down at1.1176 in the September Swiss and then not until the 1.1161 level.
Technical Outlook: A bullish signal was given with an upside crossover of the daily stochastics.Stochastics are at mid-range but trending higher, which should reinforce a move higher if resistance levels aretaken out. The cross over and close above the 18-day moving average indicates the intermediate-term trend hasturned up. With the close over the 1st swing resistance number, the market is in a moderately positive position.The next upside target is 112.61. The next area of resistance is around 112.24 and 112.61, while 1st support hitstoday at 111.56 and below there at 111.24.