USD/CHF Trading Forecast

USD/CHF closed lower on Thursday as it extends this summer's decline. Profit taking tempered early losses and the mid-range close sets the stage for a steady opening on Friday. Stochastics and the RSI remain neutral to bearish signalling that sideways to lower prices are possible near-term. If it extends this summer's decline, the 2009 low crossing is the next downside target. Closes above the 20-day moving average crossing would confirm that a short-term low has been posted.