EUR/CHF: At risk of an extended downtrend on failure to defend 0.9410 – SocGen

EUR/CHF recently approached the lows of September 2022 near 0.9410 and has embarked on a rebound. Economists at Société Générale anlayze the pair’s outlook. 

Multi-year trend line near 0.9630 must be overcome to affirm a meaningful up-move

Daily MACD has started posting positive divergence denoting receding downward momentum.

A short-term bounce can’t be ruled out however multi-year trend line near 0.9630 must be overcome to affirm a meaningful up-move.

In case the pair fails to defend 0.9410, there could be risk of an extended downtrend.