FxWirePro: EUR/CHF recovery attempts capped at 50-DMA, bias lower, retrace till 61.8% Fib likely

• EUR/CHF is trading in a narrow range today, likely consolidating previous session's slump.
   
• The pair has started trending lower after ranging below 55-EMA resistance during the previous week.
   
• Price action has broken strong trendline support and has slipped below 50-DMA at 1.1591 on Thursday's trade.
   
• Momentum studies are bearish. Stochs are sharply lower and RSI is below 50 levels.
   
• Recovery attempts lack traction, upside remains capped at 50-DMA.
   
• We see scope for test of 61.8% Fib at 1.15 levels. Bearish invalidation only on breakout at 55-EMA.

Support levels - 1.1549 (July 4th low), 1.15 (61.8% Fib), 1.1480 (June 21 low)

Resistance levels - 1.1588 (50-DMA), 1.16 (5-DMA), 1.1636 (55-EMA)

Call update: Our previous call (https://www.econotimes.com/FxWirePro-EUR-CHF-rejected-at-session-highs-good-to-go-short-on-break-below-21-EMA-1406247) is progressing well.

Recommendation: Stay short for targets.

FxWirePro Currency Strength Index: FxWirePro's Hourly EUR Spot Index was at -101.17 (Bearish), while Hourly CHF Spot Index was at 28.7676 (Neutral) at 0545 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.