Hot Chart Key Levels for EUR/CHF

Hot Chart Key Levels for EUR/CHF

From a fundamental perspective we like buying EUR/CHF because we think that the Swiss National Bank will maintain the 1.20 EUR/CHF peg. However when it comes to looking at the technicals for EUR/CHF, the outlook is murky because the peg distorts the charts. 1.20 is obviously the main support level for the currency and if that is broken, the next technical support should be 1.1675, the 23.6% Fibonacci retracement of the 2007 to 2011 decline. If 1.20 holds, the second chart below indicates that 1.2050 should be near term resistance. Of course if the Swiss National Bank suddenly intervenes, we’ll see EUR/CHF on the 1.21 handle.

Chart Of The Day

Leave a Comment

Your email address will not be published. Required fields are marked *