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16 Sep 2013
EUR/CHF pops up slightly paring earlier losses
FXstreet.com (Athens)- The EUR/CHF managed to pare the earlier Draghi sparked losses and head upwards to its daily highs.
The EUR/CHF was under high pressure for a fourth consecutive day, since the opening of the Asian trading on Sunday. What’s more Draghi’s speech on Berlin dragged the pair further downwards. Still, despite discouraging comments coming from superior Euro zone officials ( i.e. Spain Economy Minister Guindos said “GDP will rise, but Spain's crisis isn't over”), the single currency is now gaining momentum, therefore the EUR/CHF comes closer to the crucial resistance as of 1.2400 area.
Technical Outlook and Strategic Bias on EUR/CHF
Karen Jones, Head Technical Analyst at Commerzbank suggests “the August high at 1.2435 in focus. Last week EUR/CHF saw a strong rebound off its 200 day moving average at 1.2295 and briefly hit the 1.2400 mark – the market is attempting to gain a foot hold above here. The 1.2435 August high is thus in the picture, followed by the 1.2466 July high. Intraday dips should find some support at 1.2336/1.2295, around the 200 day ma. Only once the next higher 1.2466 July high has been bettered, will the 1.2545/57 region be eyed.”
The EUR/CHF was under high pressure for a fourth consecutive day, since the opening of the Asian trading on Sunday. What’s more Draghi’s speech on Berlin dragged the pair further downwards. Still, despite discouraging comments coming from superior Euro zone officials ( i.e. Spain Economy Minister Guindos said “GDP will rise, but Spain's crisis isn't over”), the single currency is now gaining momentum, therefore the EUR/CHF comes closer to the crucial resistance as of 1.2400 area.
Technical Outlook and Strategic Bias on EUR/CHF
Karen Jones, Head Technical Analyst at Commerzbank suggests “the August high at 1.2435 in focus. Last week EUR/CHF saw a strong rebound off its 200 day moving average at 1.2295 and briefly hit the 1.2400 mark – the market is attempting to gain a foot hold above here. The 1.2435 August high is thus in the picture, followed by the 1.2466 July high. Intraday dips should find some support at 1.2336/1.2295, around the 200 day ma. Only once the next higher 1.2466 July high has been bettered, will the 1.2545/57 region be eyed.”