USDCHF: Downside pressure is mounting – Credit Suisse

USDCHF has rejected key resistance at 1.0071. Analysts at Credit Suisse see signs that downside pressure is mounting.

Clear top threatening

“We think that the downside pressure is mounting. Key support is seen at the 55-day average and the recent price low at 0.9840/38, a close below which would then be seen to trigger a bearish ‘double top’ and likely clear way to 0.9737 next and potentially towards the 200-day average at 0.9616.”

“A sustained move above 1.0071/1.0148 though would negate thoughts of a shift lower within the range and instead suggest a stronger recovery towards 1.0235.”