USD/CHF: Further gradual weakness is likely over the coming month – Credit Suisse
USD/CHF has breached the bottom of the key support zone at 0.9355, which in the view of analysts at Credit Suisse, indicates further weakness is likely over the next month.
Further sustained downside
“USD/CHF broke the bottom of the key support zone at 0.9355 on Friday. This move paired with the DXY breaking its 200-Day Moving Average in our eyes signals that further gradual downside is likely to unfold, and we thus look for further weakness to develop over the next month.”
“Support is seen at 0.9325/12 and then at 0.9287/84, below which would solidify the current weakness and clear way to the late March low at 0.9193.”
“A quick move back above the 13-Day Exponential Average at 0.9460/68 would see scope for a near-term pause to unfold, though only above the recent highs at 0.9546/98 would raise the prospect of a firmer correction.”