USD/CHF: Strong swing higher sees next resistance at 0.9090 – Credit Suisse

USD/CHF saw a strong and unexpected surge higher, breaking above the crucial early February high and the downtrend from early 2020, currently at 0.9036/46 to suggest further short-term upside, per Credit Suisse.

Key quotes

“We shift our immediate bias in favor of further upside, with the first and initial test seen at the 61.8% retracement of the fall from September 2020 at 0.9090. Although we ideally look for this area to cap for a move lower, we see scope for an overshoot back to the 200-day average at 0.9142. We expect a more concerted effort to hold at this point.” 

“Support is initially seen at 0.9039, beneath which would see a small intraday top completed to suggest a move back to 0.8975/57 – a cluster of key short-term averages.” 

“Beneath 0.8949 would instead see the ‘outside day’ negated and see support next at 0.8934, where we would expect to see another attempt to hold at first.”