Since the beginning of the year, the currency pair lost over 4.0% although last week rallied almost 1.7% and is in a potentially phase change, shifting from a bearish to a recovery phase. Last week the CHFJPY rallied with a wide range and closed near the high of the week, in addition, the currency pair managed to close above the previous week high, which suggests a strong bullish momentum. The stochastic is showing an oversold market and is displaying a strong bullish momentum although is still below the 50 midline. The currency pair made a strong swing low at 108.504 where is now the year-to-date low and began an upward correction which can throw the price up to the confluence of a key level at 112.487 and the 38.2 Fibonacci retracement at 112.342. Expecting an upward move toward a key level at 112.487 on a break above the previous week high at 111.190 (scenario 1) although a bounce from the key level at 112.487 could poke the bears into the market gain pushing the price back down to 23.6 Fibonacci retracement at 110.875 (scenario 2).