EUR/CHF rose during the Wednesday session as the 1.21 support level continues to hold. The level has been supportive in the last several months as we have been stuck in a range between 1.21 and 1.24 as the currencies are simply going back and forth, and there is no real catalyst to breakout either way.
The Swiss National Bank has a floor in this pair at 1.20, and the 1.25 level is simply far too strong for the Euro to break through. The pair will continue to be range bond for the foreseeable future, and buying at these lower levels makes sense, and selling closer to 1.24 does as well until we finally break out – which could be some time from now.
EUR/CHF Forecast January 5th, 2012, Technical Analysis
Originally posted here
