Despite rising to 0.9334, USD/CHF failed to sustain gain and dropped sharply towards the end. Initial bias is mildly on the downside and deeper retreat could be seen. However, near term outlook is unchanged as long as 0.9071 support holds. Fall from 0.9594 is finished with three waves down to 0.8930 after hitting lower channel support. Rise from 0.8930 is expected to resume sooner or later and above 0.9253 should flip bias back to upside. Break of 0.9334 will target 0.9594 and above. However, below 0.9071 will suggest that rebound from 0.8930 is finished and would possibly extend the fall from 0.9594 to another low below 0.8930.

In the bigger picture,we're treating rebound from 0.7065 medium term bottom as part of a consolidation pattern only. Upside momentum of such rebound is clearly diminishing, but there is no sign of reversal yet as USD/CHF is staying well inside the near term rising channel. Rebound from 0.7065 could extend further to above 0.9594. But even in that case, strong resistance should be seen at 0.9916 (61.8% retracement of 1.1730 to 0.7065 at 0.9948) to limit upside and bring reversal. Below 0.8930 will target 0.8567 first. Break will confirm completion of rebound form 0.7065 and should target a test on this low.

In the longer term picture, long term down trend from 2000 high of 1.8305 is still in progress and there is no indication of a reversal yet. Such down trend would extend to 100% projection of 1.8305 to 1.1288 from 1.3283 at 0.6266 after finishing the consolidation from 0.7065.