Although price hesitation has set in, USDCHF continues to hold on to its recovery strength started from the 0.7068 level. This leaves its immediate outlook neutral with risk of consolidation or correction in the days ahead. A follow through lower on its present weakness will aim at the 0.8704 level, its Sept 09'2011 low ahead of its Sept 08'2011 low at 0.8532 and subsequently the 0.8240 level, marking its Aug 29'2011 high. On the other hand, a return above its Sept 12'2011 high at 0.8946 is required to resume its recovery strength towards the 0.9013 level, its April 19'2011 high. Further out, a turn above here will create scope for further strength towards the 0.9340 level, its April 01'2011 high. All in all, the pair remains biased to the upside nearer term despite its present price correction. .

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