On Thursday, the EUR/CHF currency pair pulled back from the session highs of about 0.9408 to trade at about 0.9263. The currency pair trades within a sideways channel formation in the 60-minute chart.

The pair has now fallen to trade below the 100-hour moving average line. As a result, the currency pair is on the verge of entering the oversold levels of the 14-hour RSI.

EUR/CHF Fundamentals Overview

From a fundamental perspective, the EUR/CHF currency pair trades during a relatively busy period in the EU market.

Earlier in the week, Germany’s seasonally adjusted industrial production for February missed the expected (MoM) change of -1.1% with a change of -1.3%, down from the previous month’s equivalent of 2%. The (YoY) equivalent also delivered a worse change of -4% versus -1.6% in January. The country’s trade balance for the month failed to match the forecast of EUR 17.8 billion with a balance of EUR 17.7 billion. 

Elsewhere, the EU’s retail sales for February missed the expected (MoM) change of 0.5% with a change of 0.3%, up from 0% in January. The (YoY) equivalent outshone the forecasted change of 1.8% with a change of 2.3%, also above the previous month’s change of 1.8%.

On the other hand, the Sentix Investor Confidence for April fell to -19.5, down from -2.9 in March. Looking forward, traders will be waiting for Germany’s harmonised index of consumer prices for March on Friday.

EUR/CHF Technical Analysis (the 60-min Chart)

Technically, the EUR/CHF currency pair trades within a sideways channel formation in the 60-minute chart. However, the 14-hour RSI has recently pulled back to move closer to oversold conditions.

Therefore, the bears will look to extend the current pullback towards 0.9196 or lower to 0.9121. On the other hand, the bulls will look to pounce on rebounds at about 0.9334 or higher at 0.9408.

EUR/CHF Technical Analysis (the Daily Chart)

In the daily chart, the EUR/CHF currency pair has completed a downward breakout from an ascending channel formation. The 14-day RSI also supports a bearish bias as it moves closer to oversold conditions.

Therefore, the bears will look to ride the current downward movement towards 0.9064 or lower to 0.8852. On the other hand, the bulls will look to pounce on profits at about 0.9463 or higher at 0.9662.