USD/CHF could test 0.8946 if 0.8918/27 is cleared – Commerzbank

Karen Jones, Team Head FICC Technical Analysis Research at Commerzbank, suggests USD/CHF could attempt a move to the mid-0.8900s once the 0.8918/27 band is cleared.

Key Quotes

“USD/CHF has once again tested the .8918 December 21, 24 and 28 peak. Only if .8918/27 is bettered would we look for the .8946 December 11 high to be back in play, as well as the August, September and November lows at .8983/.9010. The 6 month downtrend lies at .9014. Please note the intraday Elliott wave count is positive.”

“Intraday dips lower should find initial support at.8830/23, and only failure here will trigger a retest of the .8758 recent low. We have a minor uptrend at .8866.”

“Below .8758 would allow for an extension to .8703/.8698, the 2014 lows but we look or these to hold the initial test.”