FXStreet (Edinburgh) - Karen Jones, Head of FICC Technical Analysis at Commerzbank, sees the pair heading towards the area of ytd highs near 0.9130.
“USD/CHF remains on course for the .9127 2014 high and the 0.9166 200 week ma – we are expecting to see some profit taking here”.
“If long we would tighten stops as we note that the slow stochastics indicator is starting to turn lower and the market charted a doji yesterday (candlestick formation that denotes indecision)”.
“Dips lower are expected to hold over .8965/48, the 2 month uptrend, to leave the bull trend entrenched”.
“We continue to target the 200 week ma at .9166 then the 55 month ma at 0.9377 slightly longer term. This held the topside in 2012 and 2013 and is expected to be formidable”.
“Above here at .9454 lies the 29 year downtrend”.