EUR/CHF outlook: Safe haven swiss franc rises to seven-month high vs Euro
EUR/CHF
The EURCHF pair fell to the lowest in over seven month on Monday, in fresh acceleration of larger downtrend from double- rejection at parity level in late March, during past two sessions.
Growing uncertainty over US debt ceiling talks prompted investors into safe-haven Swiss franc, which gained across the board.
Fresh bearish acceleration cracked 0.9700 round-figure level but faced strong headwinds on approach to more significant support at 0.9670 (Fibo 61.8% of 0.9406/1.0097 rally.
Bears are likely to take a breather on partial profit-taking of 0.7% fall in past two days, with upticks to face solid resistance at 0.9740/50 zone (falling 10DMA / broken 50% retracement of 0.9406/1.0097).
Consolidation should be ideally capped here to keep bears intact and offer better levels to re-enter larger downtrend for probe through 0.9670 pivot which would unmask targets at 0.9569/52 (Fibo 76.4%/low of 23 Aug 2022).
Res: 0.9705; 0.9750; 0.9776; 0.9799.
Sup: 0.9670; 0.9600; 0.9570; 0.9550.
Author
Slobodan Drvenica
Windsor Brokers
Industry veteran with over 22 years’ experience, Slobodan Drvenica joined Windsor Brokers in 1995 when he was an active trader for more than 10 years, managing the trading desk and own account departments.
