USD/CHF room for a visit to 0.9770/72 – Commerzbank

In view of Karen Jones, Head of FICC Technical Analysis at Commerzbank, there is still the probability of a test of the 0.9770 region.

Key Quotes

“USD/CHF last week’s initial rejection from the .9746 3 month downtrend leaves the market side lined. Intraday dips are indicated to hold circa .9640 and we maintain an upside bias above .9570. There is scope for a test of the current August highs at .9770/72, however in order to reignite medium term upside interest we suspect that the currency pair will need to close above the .9814 end of March low and overcome the 55 week ma at .9870”.

“Failure at .9414 (support line) would open the way for the October 2014 low at .9361 to be reached initially”.