EUR/CHF to dip towards 1.07 after failure at the 1.0941 downtrend – Commerzbank

EUR/CHF has failed on the initial test of the 1.0941 downtrend. The pair is set to tick down towards the mid-October lows at 1.0700/1.0689, Karen Jones, Karen Jones, Team Head FICC Technical Analysis Research at Commerzbank, reports.

Negative below the 1.0941 the 2008-2021 downtrend

“EUR/CHF has failed on a test of the 1.0941, the 2008-2021 downtrend. The emphatic failure here implies that the market is back under pressure.”

“So far the pair has sold off to and is currently bouncing from the 55-day ma at 1.0812, this should be short-lived and we should then see losses to the mid-October low at 1.0700/1.0689. Further down sits the 1.0629 November low and there is also the 78.6% retracement at 1.0643.”