USD/CHF technical analysis: Downside seems limited within a short-term ascending trend-channel

• The overnight rejection slide from 200-DMA extends through the early NA session on Friday.
• Stronger US headline retail sales data helped limit the slide/bounce off over one-week lows.

The USD/CHF pair extended the previous session's rejection slide from the very important 200-day SMA and remained under some selling pressure for the second consecutive session on Friday. The intraday downfall dragged the pair to over one-week lows in the last hour, albeit stronger US headline retail sales figures helped bounce off lows and recover a part of the early lost ground.
 
Meanwhile, technical indicators on hourly charts have been gaining negative traction and also easing within the positive territory, suggesting that the recent up-move might have run out of the steam. However, the broader picture indicates that the pair remains well within a six-week-old ascending trend-channel formation and warrant caution before positioning for any further near-term depreciating move.
 
Hence, any subsequent fall seems more likely to attract some dip-buying interest and help limit the downside near the lower end of the mentioned trend-channel, currently around the 0.9815-10 region. Failure to defend the said support will negate the constructive outlook and set the stage for the resumption of the prior bearish trend, turning the pair vulnerable to aim back towards the 0.9700 handle.
 
On the flip side, the 0.9915 region now seems to act as an immediate resistance, above which the pair is likely to make a fresh attempt towards challenging 200-DMA - currently near mid-0.9900s. Any further up-move is likely to confront some supply near the trend-channel resistance, which if cleared should pave the way for an extension of the pair's recent strong up-move from multi-month lows.

USD/CHF daily chart