The 55-day moving average (DMA) at 0.9208 is about to give way. Subsequently, Karen Jones, Team Head FICC Technical Analysis Research at Commerzbank, expects the USD/CHF pair to tick down towards the 2020-2021 uptrend at 0.9076.

Offered below 0.9313

“USD/CHF’s bounce from the 55-DMA at 0.9208 has proved tepid and downside risks remain. The 55-DMA is about to give way and this leaves the market vulnerable to a deeper corrective sell off to the 0.9138 200-DMA and potentially the 2020-2021 uptrend at 0.9076.”

“Rallies are expected to remain capped by the 0.9313 mid-October high. This guards 0.9357/69 (recent high).”