USD/CHF falls through monthly S2

USD/CHF remains on the defensive—it has just closed beneath the monthly S2 and therefore may decline even further. The closest significant support is the weekly S1 at 0.8838/18, but it could allow the dip to extend down to the long-term trend-line at 0.8753, which could be drawn through the peaks and valleys charted since June of 2012, meaning it is a potential reversal point.

The bullish towards USD/CHF sentiment weakened below the 10-day average—right now 71%, instead of 74% as yesterday, market participants are expecting appreciation of the U.S. Dollar against the Swiss Franc. Speaking of the orders, there are considerably less buy ones—their share plunged from 82% down to 57%.