USD/CHF risks a visit to 0.9880/50 – Commerzbank

According to Karen Jones, Head of FICC Technical Analysis at Commerzbank, USD/CHF could slip back towards the 0.9880/50 area.

Key Quotes

“The cross has reached the .9939 200 day ma at .9921 as there is scope for further slippage towards the .9880/50 region. This is this years’ low, the 55 week ma and the 61.8% retracement. Downside risks are growing and below .9850 will introduce scope to .9720, the 78.6% retracement”.

“The market stays offered below the 20 day ma at 1.0061. Only above here would alleviate downside pressure and retarget 1.0248 11th January high and the 1.0328 2015 and 1.0344 December 2016 highs”.