Daily Technical & Trading Outlook USD/CHF

Trend Daily Chart
Sideways

Daily Indicators
Neutral

21 HR EMA
0.9703

55 HR EMA
0.9701

Trend Hourly Chart
Sideways

Hourly Indicators
Neutral

13 HR RSI
53

14 HR DMI
+ve

Daily Analysis
Consolidation b4 one more fall

Resistance
0.9805 - Last WEd's NY high
0.9761 - Last Tue's low (now res)
0.9743 - Last Fri's high

Support
0.9651 - Sep 08 low
0.9631 - Aug 26 low
0.9604 - 80.9% r of 0.9538-0.9885

• USD/CHF - 0.9707.. Despite inching higher to 0.9706 in early Europe, dlr briefly fell to 0.9661 on selling in eur/chf cross. However, price erased intra- day losses n rallied to session high of 0.9729 in NY morning b4 retreating.

• On the daily chart, dlr's strg retreat fm 0.9885 in the beginning of Sep to 0.9651 n subsequent rebound to 0.9819, then followed by last week's weakness to 0.9658 suggests the 3-month long broad sideways swings fm Jun's 0.9522 bottom would continue with downside bias, a daily close below 0.9651 would retain bear- ishness for weakness twd daily pivotal sup at 0.9538 (Aug's low) where a break there would yield re-test of 0.9522 in Oct. Our weekly strategy is holding a short position in anticipation of further weakness to indicated downside targets n only abv 0.9761 may risk another bounce twd 0.9816/19 where a break there would shift risk to the upside for gain twd 0.9885.

• Today, although dlr's 3-day sideways swings fm last week's low at 0.9658 (Thur) suggests further range trading is in store, as long as 0.9743 (Fri's reac tion high holds), re-test of 0.9651 (Sep low) is likely, break would extend fall fm 0.9885 twd 0.9604 later. Only a daily close abv 0.9743 risks 0.9780/90.