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5 Mar 2014
EUR/CHF needs to take a breathe
FXStreet (Moscow) - EUR/CHF is sleeping is a tight 15-pip range after violent moves on Tuesday; the cross is currently testing the interim resistance of 1.2180.
No need to buy more Swissy. What a relief!
EUR/CHF spiked to 1.2184 on Tuesday as geopolitical tensions eased and allowed Swissy traders to lock gains on their EUR/CHF shorts. They should be happy to do so, as it might be dangerous to go on buying frank close to the SNB threshold level. During European hours the key risk event for the cross is related to Service sector PMI in core EZ countries and EZ composite PMI. No change from the initial estimates is expected, but should the numbers come out better than expected, the single currency may grow across the board as it would strengthen the case for the ECB inaction on Thursday. Deviation to the weaker side has less market moving potential this time. From the technical point of view, keep an eye at 1.2150 on the downside, and 1.2190 on the upside.
What are today’s key EUR/CHF levels?
Today's central pivot point can be found at 1.2172, with support below at 1.2147, 1.2101 and 1.2076 with resistance above at 1.2218, 1.2243 and 1.2289. Hourly Moving Averages are bullish, with the 200SMA at 1.2179 and the daily 20EMA at 1.2203. Hourly RSI is neutral at 65.
No need to buy more Swissy. What a relief!
EUR/CHF spiked to 1.2184 on Tuesday as geopolitical tensions eased and allowed Swissy traders to lock gains on their EUR/CHF shorts. They should be happy to do so, as it might be dangerous to go on buying frank close to the SNB threshold level. During European hours the key risk event for the cross is related to Service sector PMI in core EZ countries and EZ composite PMI. No change from the initial estimates is expected, but should the numbers come out better than expected, the single currency may grow across the board as it would strengthen the case for the ECB inaction on Thursday. Deviation to the weaker side has less market moving potential this time. From the technical point of view, keep an eye at 1.2150 on the downside, and 1.2190 on the upside.
What are today’s key EUR/CHF levels?
Today's central pivot point can be found at 1.2172, with support below at 1.2147, 1.2101 and 1.2076 with resistance above at 1.2218, 1.2243 and 1.2289. Hourly Moving Averages are bullish, with the 200SMA at 1.2179 and the daily 20EMA at 1.2203. Hourly RSI is neutral at 65.