USD/CHF to extend the downfall on a breach of the 0.8830/23 support – Commerzbank

The USD/CHF pair continues to ease lower and Karen Jones, Team Head FICC Technical Analysis Research at Commerzbank, is closely watching the 0.8830/23 zone as a break below here would trigger a fall to the 0.8758 mark.

Key quotes

“USD/CHF has continued to drift lower and this failure calls into question the base pattern we had been watching. Currently, we are concerned that the up move already looks to have ended. The Elliott wave count is neutral but attention has now dropped to 0.8830/23, the 18th December low.” 

“Only failure at 0.8823 will trigger a retest of the 0.8758 recent low.”

“Below 0.8758 would target 0.8703/.8698, the 2014 lows. Failure here will introduce scope to 0.8317, along term Fibo.”