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21 Oct 2013
EUR/CHF upwards amidst signs of continued EZ recovery
FXstreet.com (Athens) – The EUR/CHF is trading mostly sidelines the last couple of hours after having spiked on 1.2366 on good news pertaining the US fiscal “jitters”.
EUR/CHF ready to test the 1,2400 handle
The EUR/CHF is trading immensely higher since the early kick off of the Asian trading session, mostly because the coming week is considered as a major opportunity for the single currency to get a solid boost from the fundamental perspective. Briefly, the Euro-land Economic Confidence index is forecasted to be released on Wednesday improved to -14.5 from -14.9 - highest level since August 2011 - while on Thursday, both Germany’s PMI as well as Euro land PMI are expected to climb higher. Finally, the pair has also gained an immensely bullish technical uptrend momentum as it is lying at 1.2350 well above the confluence of the 200 – daily SMA (1.2317), 50 – daily EMA (1.2320) and 9 – daily EMA (1.2332) at the area as of 1.2317-1.2332. Still the cross in technical aspects should overcome the barrier as of 1.2387 (the downtrend line from July) to move above the 1.2400 handle.
Technical Analysis on EUR/CHF
Axel Rudolph, Analyst at Commerzbank suggests that the “Last week EUR/CHF came off the Fibonacci cluster at 1.2372/81 and revisited the 55-and 200-day moving averages at 1.2324/21. Since then it trades sideways below the 1.2372/81 resistance area. Support below 1.2324/21 can be seen around the 1.2278/66 August lows ahead of the1.2217/15 June and September lows. Further range trading between1.2400 and 1.2200 remains onthe cards over the coming days.”
EUR/CHF ready to test the 1,2400 handle
The EUR/CHF is trading immensely higher since the early kick off of the Asian trading session, mostly because the coming week is considered as a major opportunity for the single currency to get a solid boost from the fundamental perspective. Briefly, the Euro-land Economic Confidence index is forecasted to be released on Wednesday improved to -14.5 from -14.9 - highest level since August 2011 - while on Thursday, both Germany’s PMI as well as Euro land PMI are expected to climb higher. Finally, the pair has also gained an immensely bullish technical uptrend momentum as it is lying at 1.2350 well above the confluence of the 200 – daily SMA (1.2317), 50 – daily EMA (1.2320) and 9 – daily EMA (1.2332) at the area as of 1.2317-1.2332. Still the cross in technical aspects should overcome the barrier as of 1.2387 (the downtrend line from July) to move above the 1.2400 handle.
Technical Analysis on EUR/CHF
Axel Rudolph, Analyst at Commerzbank suggests that the “Last week EUR/CHF came off the Fibonacci cluster at 1.2372/81 and revisited the 55-and 200-day moving averages at 1.2324/21. Since then it trades sideways below the 1.2372/81 resistance area. Support below 1.2324/21 can be seen around the 1.2278/66 August lows ahead of the1.2217/15 June and September lows. Further range trading between1.2400 and 1.2200 remains onthe cards over the coming days.”