EUR/CHF Daily Analysis
Earlier today, EUR/CHF rose to 0.9995 but quickly retreated. The intraday bias is currently neutral. The outlook remains unchanged that the corrective decline from 1.0095 has likely ended at 0.9704. As long as the minor support at 0.9856 holds, a further rally is expected, with targets at 1.0040 and then 1.0095 upon breaking above 0.9995. However, a firm break of 0.9856 will dampen the bullish view and turn the bias back to the downside with a target at 0.9704 support instead.
Looking at the bigger picture, the rejection by the 55 week EMA (now at 1.0011) and 38.2% retracement of 1.1149 to 0.9407 at 1.0072 suggests a bearish medium-term outlook. The downtrend from 1.2004 is likely to resume through 0.9407 at a later stage. However, if there is a decisive break of 1.0095 resistance, the chance of a bullish trend reversal will increase. The rise from 0.9407 should then target 1.0505 cluster resistance (2020 low at 1.0505, 61.8% retracement of 1.1149 to 0.9407 at 1.1484).
