In the early stage of the week, we did see the pair confirming its bullish momentum while reaching its psychological 80,00 level i.e. 200 pips above last week close.
This key level was a good opportunity for the market participants to start taking some profit off the table. The USD/CHF has then lost all its early gains to trade back near its opening level at 78,00.
Considering the relative US Dollar weakness, the pair might be under pressure over the coming sessions which will allow the formation of a higher low structure.
We think that the outlook remains bullish with a main bottom being in place on top of the historical low at 70,70.