USDCHF: As the pair continues to maintain its recovery off the 0.9063 level, risk of a return to the 0.9326 level is likely in the days ahead. This leaves the possibility of returning to the 0.9400 level, its psycho level on the cards with a breach of there creating scope for more upside gain towards the 0.9503 level, its Feb 22’2011 high. Its daily RSI is bullish and pointing higher, support this view. Alternatively, the risk to our analysis will be a return below the 0.9063 level, its Nov 30’2011 low with a break turning focus to the 0.8954 level, its Nov 11’11 low followed by the 0.8568 level, its Oct 27’2011 low where a loss will pave the way for further weakness aiming at its psycho level at 0.8400 level. All in all, the pair remains biased to the upside despite its pullback attempt the past week.
