By FX Empire.com
EUR/CHF fell during the session on Wednesday as the Italian 10 year bonds reached over 7% for the first time since joining the EU. The Swiss are currently working against the appreciation of the Franc, so even though it fell – it could only fall so far. The 1.20 area is the “floor” that the SNB has put in place, so any shorting of this pair is going to be short-term at best. Because of this, we simply will not sell. We want to buy, but with the issues in the EU being on the minds of traders worldwide, we see very little chance of that happening soon. The “fix” has to be implemented before we can buy. Once we do, we are looking to buy and hold this pair for weeks, if not months or years.
Originally posted here
