USD/CHF initial resistance lies around 1.0150 – Commerzbank

Bullish attempts in USD/CHF should find the initial hurdle around the mid-1.0100s, according to Karen Jones, Head of FICC Technical Analysis at Commerzbank.

Key Quotes

“USD/CHF continues to hold over the 1.0020 mid December low. Rallies will find initial resistance at 1.0150/47, this is the location of the near term resistance line. The market will need to overcome this downtrend in order to alleviate downside pressure and signal a recovery to the 1.0248 11th January high and the 1.0328 2015 and 1.0344 December 2016 highs”.

“Below .9996 we are unable to rule out slippage to the .9956 May 2016 high and .9947 50% retracement. There is potential for a slide to the 200 day ma at .9863 (however this is not our favoured scenario).The Elliott wave count on the daily is suggesting that the move to .9996 was the end of an ‘abc’ correction lower”.