Suggestions that Germany doesn’t need additional stimulus probably disappoints some players in Europeas that suggests the Euro zone will have to continue to fight economic headwinds, the drag from Russiansanctions and general favor of the US Dollar. Pushed into the market we have to favor the short side in the Swiss,especially in the wake of the low to high bounce this week of roughly 200 points.
Technical Outlook: Momentum studies are rising from mid-range, which could accelerate a move higher ifresistance levels are penetrated. The market’s short-term trend is positive on the close above the 9-day movingaverage. The close over the pivot swing is a somewhat positive setup. The next upside target is 107.01. The nextarea of resistance is around 106.63 and 107.01, while 1st support hits today at 105.65 and below there at 105.04.