The EUR/CHF currency pair on Friday pulled back off the current 3-month highs of about 0.9875 to trade at about 0.9841. The currency pair continues to trade within an ascending channel formation in the 60-min chart.
The pair remains several levels above the 100-hour moving average line. However, it seems to be moving towards the centre zone of the 14-hour RSI.
EUR/CHF Fundamentals Overview
From a fundamental perspective, the EUR/CHF currency pair is trading at the back of a relatively busy period in the EU market. On Friday, the preliminary EU consumer confidence for October beat the expectation of -30 with a reading of -27.6.
On Thursday, Germany’s producer price index for September beat the expected (MoM) change of 1.3% with a change of 2.3%. The (YoY) equivalent also beat 44.7% with a change of 45.8%. Earlier in the week, the ZEW survey economic sentiment for October outperformed the forecast of -60.6 with a reading of -59.7.
In Switzerland, the Swiss Trade Balance for September outshone the forecast of 3,588 million with a reading of 4,003 million. On the other hand, Imports and Exports increased to 20,154 million and 24,157 million, respectively up from the previous readings of 17,611 million and 20,934 million.
EUR/CHF Technical Analysis (the 60-min Chart)
Technically, the EUR/CHF currency pair seems to be trading within an ascending channel formation in the 60-min chart. This indicates a significant short-term bullish bias in the market sentiment.
Therefore, the bulls will be looking to extend the current streak of gains toward 0.9852 or higher to 0.9866. On the other hand, the bears will be looking to pounce on profits at about 0.9830 or lower at 0.9815.
EUR/CHF Technical Analysis (the Daily Chart)
In the daily chart, the EUR/CHF currency pair seems to be trading within an ascending consolidative triangle formation. This indicates a significant long-term bullish bias in the market sentiment.
Therefore, the bears will be targeting potential pullback profits at about 0.9725 or lower at 0.9625. On the other hand, the bulls will be looking to extend gains to 0.9913 or higher to 1.0024.