FxWirePro: GBP/CHF Daily Outlook

Chart - Courtesy Trading View 

GBP/CHF was trading 0.09% higher on the day at 1.1617 at around 12:10 GMT.

The pair has erased early gains and has slipped lower from session highs at 1.1662.

Stronger UK consumer inflation figures failed to impress the GBP bulls or provide any impetus.

Data released by the UK Office for National Statistics (ONS) showed headline UK CPI accelerated to the 9.4% YoY in June, beating estimates at 9.3% and a prior month reading of 9.1%.

On a month-on-month basis, UK CPI rose 0.8% in June as against 0.7% anticipated and the 0.7% previous.

Core inflation however, eased to 5.8% YoY in June from the 5.9% booked in May, a key factor that acted as a headwind for the British pound.

GMMA indicator shows major and minor trend are bearish. Price action is below major moving averages.

Price action remains capped below 21-EMA. Any bullishness only on decisive break above. 

Support levels - 1.16, 1.1519 (Lower BB)

Resistance levels - 1.1647 (20-DMA), 1.1695 (21-EMA)

Summary: GBP/CHF trades with a bearish bias. Scope for further weakness. Bearish invalidation only above 21-EMA.