USD/CHF further consolidation likely – Commerzbank

In view of Axel Rudolph, Senior Technical Analysis at Commerzbank, the pair’s outlook in the near term continues to point to some consolidation.

Key Quotes

“Last week USD/CHF made an interim top at 1.0192 before beginning to give back some of its recent gains. Given that the daily RSI reached an extremely overbought level around 81% we continue to allow for consolidation to be seen this week. Retracements may come back to parity”.

“Above 1.0192 lie the 1.0256/1.0328 2015 highs. The 1.0328 level is regarded as a major break up point to the 1.0910 61.8% retracement of the move down from 2005”.