The Swiss is also short term oversold but in looking at the fundamental headline flow there doesn’tappear to be a change in the mostly bearish setup. In addition to rekindled tensions between Russia and Ukraine,the Swiss is also undermined by ongoing fears of slowing throughout the Euro zone. A normal retracement of theOctober/November washout would seem to allow for a bounce back up to 1.0461.
Technical Outlook: The market made a new contract low on the break. Daily stochastics declining intooversold territory suggest the selling may be drying up soon. A negative signal for trend short-term was given on aclose under the 9-bar moving average. The market’s close below the pivot swing number is a mildly negativesetup. The next downside objective is now at 102.96. The next area of resistance is around 103.91 and 104.16,while 1st support hits today at 103.31 and below there at 102.96.