USD/CHF Dips Near Year Open and Resumes Higher
Chart Prepared by Jamie Saettele, CMT
-Recent updates have noted that “the breakout from the multi-month triangle remains valid but the comments in the EUR/USD section regarding non-confirmation warn of at least a minor turn lower in the USD. Monitor the year open (near parity) for support. As a reminder, the objective from the breakout is 1.0350.” Low post-ECB was 12 ticks above the year open (year open is 1.0007). The action sets the stage for the next leg higher although continued failures to hold above a long term parallel indicate a high risk situation. Weakness below 1.0007 would shift focus to .9860/70 (former trendline resistance).
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