A range down failure/extension overnight leaves the Swiss poised for a sub-1.04 trade ahead. While wethink the Swiss and Euro need an official or definitive end to the Ukraine/Russian situation, to throw off the 6month old down trend channel, the rate of decline on the downside should slow as the European economy getson a slightly improved footing. In the short term, the direction of the Swiss is heavily dependent on the direction ofthe Euro.
Technical Outlook: Declining momentum studies in the neutral zone will tend to reinforce lower priceaction. The market back below the 18-day moving average suggests the intermediate-term trend could be turningdown. The outside day down is a negative signal. The close below the 2nd swing support number puts the marketon the defensive. The next downside objective is now at 103.90. The next area of resistance is around 105.41and 106.27, while 1st support hits today at 104.23 and below there at 103.90.