EUR/CHF to slump under 1.0700 on a break below the 1.0730 support – SocGen

EUR/CHF has broken below a multi-month ascending trend line resulting in a steady downtrend. As analysts at Société Générale note, the pair could slide below the 1.0700 level on a loss of the 1.0730 support.

Likely bounce towards the 1.0810 mark

“EUR/CHF is reaching potential support of 1.0730 representing lows of December 2020 and January 2021.”

“An initial bounce is likely towards 1.0810.”

“Horizontal graphical levels of 1.0870 could be an important resistance near term.”

“Failure to hold above 1.0730 will mean further decline towards 1.0700 and 1.0640, the 78.6% retracement from April 2020.”