We project the December Swiss to spike up to 1.0790 in the event that the US Fed leaves its statement unchanged. To alter the downtrend pattern might require a rise back above a longer term downtrend channelresistance line of 1.0796. If the Fed does alter its rate timing the rug should be pulled out from under the Swissand a new low for the move is expected.
Technical Outlook: Daily momentum studies are on the rise from low levels and should accelerate a movehigher on a push through the 1st swing resistance. A negative signal for trend short-term was given on a closeunder the 9-bar moving average. The market’s close below the pivot swing number is a mildly negative setup. Thenear-term upside objective is at 107.39. Some caution in pressing the downside is warranted with the RSI under30. The next area of resistance is around 107.15 and 107.39, while 1st support hits today at 106.69 and belowthere at 106.48.