EUR/CHF Forecast Dec. 7th, 2011, Technical Analysis

EUR/CHF had a strong day on Tuesday as traders got enthusiastic about a possible second EU bailout fund running simultaneously to the EFSF fund. With the Euro being bought, and the Swiss National Bank claiming a “floor” in this pair at 1.20, this pair naturally rose. However, the 1.25 level above is massive resistance, and will continue to push back. The pair looks very unlikely to breakout until there is some kind of resolution in the EU about the debt crisis. The meetings in Europe on Friday could produce the needed solution, but we need to see a daily close above 1.25 in order to consider buying at this point. Selling is possible on weakness, but with the SNB working against you, perhaps avoiding sales altogether might be the way to move forward.

EUR/CHF Forecast Dec. 7th, 2011, Technical Analysis EUR/CHF Forecast Dec. 7th, 2011, Technical Analysis

Leave a Reply

Your email address will not be published.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