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3 Mar 2014
Brave EUR/CHF bears attack 1.2100 support
FXStreet (Moscow) - EUR/CHF dropped to the key support of 1.2100 in early Asian trading amid growing US-Russia-Ukraine tension, but failed to crack the strong area from the first attempt and rebounded to 1.2120.
Swissy is the safest of all
EUR/CHF had an awful week. A long period of consolidation in a dull range ended in an outright slump to new multi-month low. The cross crashed through a number of support levels and settled only at 1.2145 after testing 1.2131. Even Euro strength across the board failed to impress CHF buyers. It appears that the Swissy is a real safe-heaven nowadays, as its two closest rivals - USD and JPY do not demonstrate such obvious positive dynamics. According to CFCT data shows that as of February 25 CHF net long position increased to 358K. Looks like traders, scared to death by geopolitical tensions, hoard Swiss currency in hope to come out unscathed in case of real trouble. Though the situation in Ukraine is the hottest thing these days, on the intraday basis EUR/CHF might be influenced by PMI data both from Switzerland and Euroarea. Swiss Manufacturing PMI is expected to improve to 57.2 in Feb from 56.1 in January, while Eurozone data are likely to be mixed. This may cause another wave of CHF buying, though the bulls might feel jittery as the cross is moving closer to the SNB threshold. From the technical point of view the key levels to watch: 1.2145 (Friday’s close) on the upside, and 1.2100 on the downside.
What are today’s key EUR/CHF levels?
Today's central pivot point can be found at 1.2152, with support below at 1.2120, 1.2100 and 1.2068 with resistance above at 1.2172, 1.2204 and 1.2224. Hourly Moving Averages are bearish, with the 200SMA at 1.2194 and the daily 20EMA at 1.2212. Hourly RSI is neutral at 30.
Swissy is the safest of all
EUR/CHF had an awful week. A long period of consolidation in a dull range ended in an outright slump to new multi-month low. The cross crashed through a number of support levels and settled only at 1.2145 after testing 1.2131. Even Euro strength across the board failed to impress CHF buyers. It appears that the Swissy is a real safe-heaven nowadays, as its two closest rivals - USD and JPY do not demonstrate such obvious positive dynamics. According to CFCT data shows that as of February 25 CHF net long position increased to 358K. Looks like traders, scared to death by geopolitical tensions, hoard Swiss currency in hope to come out unscathed in case of real trouble. Though the situation in Ukraine is the hottest thing these days, on the intraday basis EUR/CHF might be influenced by PMI data both from Switzerland and Euroarea. Swiss Manufacturing PMI is expected to improve to 57.2 in Feb from 56.1 in January, while Eurozone data are likely to be mixed. This may cause another wave of CHF buying, though the bulls might feel jittery as the cross is moving closer to the SNB threshold. From the technical point of view the key levels to watch: 1.2145 (Friday’s close) on the upside, and 1.2100 on the downside.
What are today’s key EUR/CHF levels?
Today's central pivot point can be found at 1.2152, with support below at 1.2120, 1.2100 and 1.2068 with resistance above at 1.2172, 1.2204 and 1.2224. Hourly Moving Averages are bearish, with the 200SMA at 1.2194 and the daily 20EMA at 1.2212. Hourly RSI is neutral at 30.