USD/CHF to slump towards the 0.8780 January low – Commerzbank

USD/CHF failed at 0.9164 last week and sold off aggressively. Karen Jones, Team Head FICC Technical Analysis Research at Commerzbank, sees the pair slipping towards the 0.8780 January low.

USD/CHF directly offered below the accelerated downtrend at 0.9125

“The 200-day ma at 0.9084 is likely to act as nearby resistance and we look for rallies to now be capped by the accelerated downtrend at 0.9125.”

“We would allow for losses to extend to the 78.6% retracement at 0.8911. This is regarded as the last defence for the 0.8872 mid-February low and the 0.8780 January low.”