USD/CHF tests 0.8898/94

Even though at a slow pace, but USD/CHF keeps on consistently moving south, towards the key support level at 0.8898/94 that is formed by the monthly S1 and a down-trend line. As long as it stays intact, the currency pair will be considered bullish. In case of an alternative scenario, the U.S. Dollar is likely to start ceding ground until it hits the floor at 0.8568, which is the 2011 Oct low.

At the moment three out of four SWFX market participants believe the U.S. Dollar is going to outpace the Swiss Franc, being that they are holding long positions on the pair. Respectively, there are only 25% of traders who suspect that the dip is likely to be extended further.