USD/CHF potential for a re-test of 1.0000 – Commerzbank

According to Karen Jones, Head of FICC Technical Analysis at Commerzbank, the pair could attempt another visit to the psychological 1.0000 level.

Key Quotes

“USD/CHF has seen a decent recovery from the short term support line at .9902. We can only assume at this point that it is gearing up for another challenge of psychological resistance at 1.0000. This guards the May high at 1.0057. The May high at 1.0057 guards the 1.0093/1.0108 April 2017 high and 78.6% retracement. This is seen as the last defence for 1.0343, the 2016 high. This should prove tough resistance”.

“Failure here will alleviate upside pressure and signal a slide towards .9757/24 (38.2% retracement + 200 day ma) where ideally we will see the market stabilise”.