The EUR/CHF currency pair on Wednesday pulled back off the session highs of about 0.9790 to trade at about 0.9766. The currency pair appears to be trading within an ascending channel formation in the 60-min chart.

The pullback pushed the currency pair below the 100-hour moving average line. This prevented the 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 is trading at the back of a relatively busy period in the EU market. On Wednesday, the German HCOB composite PMI for June missed the expectation of 50.8 with a reading of 50.6. The EU equivalent for the period also fell short of 50.3 with a reading of 49.9, while the EU’s services PMI missed 52.4 with a reading of 52. Elsewhere, the EU producer price index for May missed both the (MoM) and (YoY) expectations of -1.8% and -1.3%, respectively with a change of -1.9% and 1.5%.

Earlier in the week, the German HCOB Manufacturing PMI for June missed the expectation of 41 with a reading of 40.6, while the EU equivalent fell short of 43.6 with a reading of 43.4. In Switzerland, the consumer price index for June missed the expected (YoY) change of 1.8% with a change of 1.7%. The (MoM) equivalent delivered a change of 0.1% compared to a change of 0.3% in the previous period.

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

Technically, the EUR/CHF currency pair appears 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 run of gains toward 0.9784 or higher to 0.9800. On the other hand, the bears will look to pounce on potential pullbacks at about 0.9750 or lower at 0.9734.

EUR/CHF Technical Analysis (the Daily Chart)

In the daily chart, the EUR/CHF currency pair appears to be trading within an ascending channel formation. This indicates a significant long-term bullish bias in the market sentiment.

Therefore, the bulls will be targeting long-term profits at about 0.9863 or higher at 0.9965. On the other hand, the bears will look to pounce on profits at about 0.9673 or lower at 0.9563.