EUR/CHF: Downtrend at 1.0899 to cap the rally – Commerzbank

EUR/CHF is expected to fail at its downtrend seen at 1.0889/97, Karen Jones, Team Head FICC Technical Analysis Research at Commerzbank, reports. 

EUR/CHF targets 1.0643/1.0629

“EUR/CHF has rallied towards and is expected to fail at the 200-day ma and four-month downtrend at 1.0889/97. This remains the critical resistance and we expect it to hold.”

“Should 1.0889/97 cap as expected, we would allow for losses to the mid-October low at 1.0689 and further down sits the 1.0629 November low. In the mix is also the 78.6% retracement at 1.0643.”