USD/CHF: 2018 low reached – Commerzbank

USD/CHF has reached the .9188 2018 low. This should hold the initial test, in the opinion of Karen Jones from Commerzbank. The pair is currently trading at 0.928. 

Key quotes

“With an RSI at 8, we will be attempting to sell the rally and the previous January low of .9613 should now act as formidable resistance.” 

“Below .9188 on a closing basis will target the .9072 May 2015 low and the .8838 the 38.2% retracement of the move from 2015.” 

“The market will stay directly offered below .9613. but intraday Elliott wave is suggesting rallies are likely to fail around .9400/80 for another leg lower.”