FxWirePro: GBP/CHF pauses upside at 200-DMA, set to extend previous session's losses

Chart - Courtesy Trading View 

GBP/CHF was trading largely unchanged at 1.2512 at around 13:20 GMT, bias is turning bearish.

The pair has erased early gains and slipped lower from session highs at 1.2560, upside finds rejection at 200-DMA and 200-week MA.

GBP/CHF rally from multi-month lows at 1.2102 has fizzled out at 200-DMA and decisive break above is required for upside continuation. 

Traders reckon Britain's economy can survive a surge in COVID-19 cases and that the Bank of England is set to hike rates as soon as next month.

Markets have so far shrugged off a political crisis enveloping Prime Minister Boris Johnson who apologised for attending a party in the Downing Street garden during Britain's first coronavirus lockdown.

Support levels - 1.25, 1.2450 (110-EMA), 1.2402 (21-EMA)

Resistance levels - 1.2528 (5-DMA), 1.2544 (200-week MA), 1.2575 (200-DMA)

Summary: GBP/CHF poised for some downside as oscillators have also reached overbought conditions and are on verge of rollover to neutral. Bullish continuation only above 200-DMA.