By FX Empire.com
The EUR/CHF pair had a bullish week after falling much of the last month and a half. The 1.20 level was close at one point and this more than likely got a lot of the weaker shorts out of the market. The “risk on” attitude of the markets started this rally after the US Non-Farm Payroll number certainly didn’t hurt either.
It should be noted that the weekly candle is a hammer, (albeit a small one) and this could signal a rise in the rate. The breaking of the top of this hammer could be a good enough sign to go long if you are patient enough to let the SNB act as your backstop below the 1.20 level. 1.25 should be the very top if we get the move, and 1.24 is the start of that resistance area. We are not selling for obvious reasons.
EUR/CHF Forecast for the Week of February 6, 2012, Technical Analysis
Originally posted here
