(Chart courtesy of FX Solutions' FX AccuCharts. Price on 1st pane, Slow Stochastics on 2nd pane; horizontal support/resistance levels in yellow; uptrend lines in green; downtrend lines in red; chart patterns in white; 50-period simple moving average in light blue.)
7/01/2010 - USD/CHF - Price action on USD/CHF, a daily chart of which is shown, continues to show the dramatic bearishness that was noted early in the week when price action reached all the way down to a key uptrend support line extending from the November 2009 low below parity. After the breakdown of this trendline, 1.0650 was the initial support target. As of Thursday (7/01/2010), price has continued its plummet that began back in early June, and has reached and dropped below this 1.0650 target. With continued bearish momentum, the second major downside target, which price currently appears poised to reach for, resides in the key 1.0500 price region.
James Chen, CMTChief Technical StrategistFX Solutions
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