The Swiss respected the pattern of lower highs overnight. With Russia playing up a food import ban it would appear that tensions are going to continue to bubble and the fear of knock on slowing should leave the Swiss under residual pressure. In fact, reports of an earnings miss by Nestle, because of adverse currencyexchange rates, highlights the need and intention to sink the Swiss to even lower levels ahead. Down-trendchannel resistance in the September Swiss is seen at 1.1037 today and that resistance falls to 1.1030 on Friday.
Technical Outlook: Daily stochastics are showing positive momentum from oversold levels, which shouldreinforce a move higher if near term resistance is taken out. The close below the 9-day moving average is anegative short-term indicator for trend. The upside closing price reversal on the daily chart is somewhat bullish. Itis a mildly bullish indicator that the market closed over the pivot swing number. The near-term upside target is at110.63. The next area of resistance is around 110.47 and 110.63, while 1st support hits today at 109.95 andbelow there at 109.58.