By | October 17 2009 9:39 AM

USD/CHF dropped further to 1.0117 last week before recovering mildly. With an intraday low in place, initial bias remains neutral this week and some consolidations could be seen. Nevertheless, short term outlook will remain bearish as long as 1.0358 resistance holds and recent decline is still expected to extend further. Below 1.0117 will bring fall resumption to 100% projection of 1.2296 to 1.0366 from 1.0883 at 1.0033, which is close to parity. However, break of 1.0358 will signal that a short term bottom is at least formed and will turn focus to 1.0452 resistance.