The EUR/CHF currency pair on Wednesday pulled back off the session highs of about 0.9820 to trade at about 0.9808. The currency pair continues to trade within an ascending channel formation in the 60-minute chart.
Wednesday’s pullback pushed the currency pair closer to the 100-hour moving average line. As a result, the pair avoided rallying 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. Switzerland’s seasonally-adjusted unemployment rate for March edged slightly higher to 2.3% up from 2.2% in the previous period.
In the EU zone, the EU’s Sentix Investor Confidence for April improved to -5.9 up from -10.5 in the previous period. In Germany, exports for February missed the expected (MoM) change of -0.5% with a change of -2%, down from the preceding month’s equivalent of 6.3%. On the other hand, imports for February outshone the forecasted change of -1% with a change of 3.2% (MoM), slightly lower than the previous month’s equivalent of 3.3%.
Elsewhere, Germany’s seasonally adjusted industrial production for February beat the expected (MoM) change of 0.3% with a change of 2.1%, up from the preceding month’s equivalent of 1.3%. The (YoY) equivalent also improved to -4.9% up from -5.3%. The seasonally adjusted German trade balance for February fell short of the forecasted balance of 25.5 billion euros with a balance of 21.4 billion euros, down from 27.5 billion euros in the previous month.
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-minute chart. However, the 14-hour RSI has recently pulled back to avoid rallying into overbought conditions.
Therefore, the bears will be targeting extended pullbacks at about 0.9797 or lower at 0.9785. On the other hand, the bulls will look to pounce on rebounds at about 0.9820 or higher at 0.9832.
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. The 14-day RSI also seems to support a long-term bullish bias as it edges closer to overbought conditions.
Therefore, the bulls will be looking to ride the current run of gains towards 0.9850 or higher to 0.9900. On the other hand, the bears will look to pounce on pullbacks at about 0.9754 or lower at 0.9706.