USDCHF – With corrective weakness seeing USDCHF declining and taking back its previous week gains the past week, further downside is envisaged. On further decline, the 0.9400 level comes in as its minimum target with a cut through here extending its correction towards the 0.9303 level and possibly lower towards the 0.9200 level.
Its weekly RSI is bearish and pointing lower supporting this view. Conversely, the pair will have to return above the 0.9750 level to resume its strength.
This if seen will target the 0.9838 level, its Jun 2013 high with a cut through here resuming its broader medium term bias and opening the door for a move higher towards the 0.9900 level and then the 0.9970/1.0000 levels. On the whole, the pair looks to extend its corrective weakness in the new week.
Guest post by FX Tech Strategy