Updating time : 22/04/2008 00:28 GMT

USD/CHF - 1.0085...Despite Friday's rally to 1.0285, dlr declined y'day after meeting selling at 1.0206 in line with the greenback's broad-based weakness (the poor earnings report for Bank of America was in contrast to the earlier positive results for Citigroup n other companies last Friday) n also cross buying in chf (unwinding of carry trades). Price hit an intra-day low of 1.0065 in late N.Y. afternoon b4 staging a minor recovery.

Y'day's cross-inspired selloff suggests caution on our bullish expectation of a rebound n 1.0065 must hold for prospect of a rise twds 1.0206, however, as broad outlook is 'consolidative', reckon Friday's high at 1.0285 wud remain intact, yield further choppy trading. Only abv 1.0285 wud confirm recent upmove fm last month's record low at 0.9630 to retrace MT downtrend has resumed n bring subsequent gain to 1.0355/69 (res n 50% r of 1.1108-0.9630).

Below 1.0040 (Friday's low) wud indicate a correction of aforesaid rise fm 0.9630 is under way, yield weakness to 1.0000 n possibly twds 0.9958 (50% r of 0.9630-1.0285) but sup at 0.9925 shud contain downside...