FX Thoughts for the Day

USD-CHF took Resistance from the 1st level of Resistance mentioned at 1.0739-47 and made a High of 1.0732. The pair subsequently dropped to the 2nd level of Support indicated in the morning edition and made a Low of 1.0657 and is still headed south. This is the lower end of the Range in which USD-CHF has traded for the past 10 weeks. Supports of the Range extend till 1.0596 which will continue to work unless the pair turns bearish enough to break down from the Range, in which case 1.0418 will be the next major Support. The movement on the upside is also full of Resistances as mentioned above.