On Wednesday, the EUR/CHF currency pair pulled back from the session highs of about 0.9347 to trade at about 0.9322. The currency pair trades within an ascending channel formation on the 60-minute chart.

The pair continues to trade slightly above the 100-hour moving average line, despite the pullback. Wednesday’s pullback prevented the currency pair from ascending into the overbought 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. In Switzerland, the ZEW survey expectations for November improved to 12.2, up from -7.7 in the previous period. Traders will be waiting for the Swiss gross domestic product for Q3 on Friday.

In the EU economic bloc, Germany’s gross domestic product for Q3 matched the (QoQ) forecast of 0%, unchanged from Q2. The (YoY) equivalent was also unchanged at 0.3%, in line with expectations. On the other hand, Germany’s IFI business climate for November missed the expectation of 88.5, with a reading of 88.1, down from 88.4. The IFO for the current assessment improved to 85.6, up from 85.3, while the IFO expectations for the month fell to 90.6, down from 91.6.

Looking forward, traders will be waiting for the German retail sales data and the unemployment data for October on Friday morning, ahead of the preliminary consumer price index and the harmonised index of consumer prices data for November, later in the day. 

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

Technically, the EUR/CHF currency pair trades within an ascending channel formation in the 60-minute chart. However, the 14-hour RSI has recently pulled back to avoid rallying into overbought conditions.

Therefore, the bears will look to extend the current pullback towards 0.9299 or lower to 0.9274. On the other hand, the bulls will look to pounce on profits at about 0.9347 or higher at 0.9370.

EUR/CHF Technical Analysis (the Daily Chart)

In the daily chart, the EUR/CHF currency pair has recently completed a double-bottom reversal pattern formation. However, the 14-day RSI still has room left to run before reaching overbought conditions.

Therefore, the bulls will look to stretch the current rebound towards 0.9381 or higher to 0.9437. On the other hand, the bears will look to pounce on profits at about 0.9259 or lower at 0.9199.