USD/CHF rallies could test 0.9740/0.9785 – Commerzbank

In view of Karen Jones, Head of FICC Technical Analysis at Commerzbank, the pair’s occasional bullish attempts could extend to 0.9740/0.9785.

Key Quotes

“USD/CHF has rallied higher following the divergence of the RSI on the move to a new low. Currently the Elliott wave counts on the daily chart are suggesting a .9740/.9785 rally ahead of failure. Beyond this we look for losses to .9520, the 61.8% retracement then .9374, the 78.6% retracement of the move seen this year”.

“Near term rallies will need to regain the .9856 28th June low in order to alleviate the downside bias which now prevails”.