USDCHF: With USDCHF breaking through the 0.8706 level, its Sept 20’2011 low and its Sept 15’2011 low at 0.8647 on Thursday, further bear pressure is expected to follow in the days. This technical development has opened the door for a further move lower towards the 0.8537 level, its Sept 07’2011 low with a violation of there allowing for more declines towards its psycho level at 0.8400 level. Its daily and weekly RSI are bearish and pointing lower supporting this view. Alternatively, on any recovery higher, the 0.8706 level comes in as the initial resistance followed by the 0.8879 level, its Oct 17’2011 low. Further our, resistance stands at the 0.9081 level, ist Oct 20’2011 high and ultimately, the 1.9316 level, its Oct’2011 high. All in all, the pair remains vulnerable to the downside on further downside weakness.
