USD/CHF: negative bias to 0.9720 - Commerzbank

Analysts at Commerzbank explained that for USD/CHF, their near-term outlook is negative given the recent lows of 0.9830, below the wide but pivotal 0.9880/0.9950 area and the 20 day ma at 1.0024.

Key Quotes:

"The cross has fallen to new lows for the year."

"Bounces are indicated to remain capped by 0.9960/1.000."

"The 0.9880/50 region has been eroded (this is this years’ low, the 55-week ma and the 61.8% retracement) and we would like to see a close below here to confirm the break."

"Downside risks are growing and we look for losses to 0.9720, the 78.6% retracement."

"Where are we wrong? The market stays offered below the 20 day ma at 1.0024. 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.