Forex: USD/CHF surrenders gains and trading at 0.9310/13

FXstreet.com (Barcelona) - The USD/CHF plunged off of its session high at 0.9356 during European trading Thursday, as the pair has surrendered its gains in recent minutes. After the publication of weak EMU data, the cross is incurring a marginal loss of -0.01%, settling in the region of 0.9310/13 in these moments.

“The USD/CHF’s trading is weak and still above the second target of the bullish harmonic AB=CD Pattern, represented in 61.8% correction at 0.9270 levels, which provides the possibility to extend the upside move at the 0.9465 levels. However, simply trading above 0.9230 make us hold onto our bullish expectations for today.” writes the ICN.com analyst team.

In the EMU, Construction Output s.a (MoM) fell -0.4% in November, relative to a figure of -1.6% previously. Moreover, Construction Output w.d.a (YoY) has also contracted -4.7% in November, down from -4.1% previously.

Technically speaking, a breach of the 0.9350 level will trigger further means of resistive correction for the USD/CHF, followed by 0.9370 up to 0.9425. Conversely, the pair is slated to face calculated support at the 0.9300 (key supportive barrier), 0.9270, and 0.9230 levels, notes the ICN.com analysts.