On Thursday, the EUR/CHF currency pair pulled back off the session highs of about 0.9980 to trade at about 0.9965. The currency pair appears to have completed an upward breakout from a descending channel formation.
The pair continues to trade several levels above the 100-hour moving average line in the 60-min chart. However, Thursday’s pullback prevented it from reaching 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 both markets. On Thursday the Swiss KOF Leading Indicator for March missed the expectation of 100.5 with a reading of 98.2. The ZEW Survey Expectations for the month also missed the forecasted reading of -18.9 with a reading of -41.3.
In the EU, Germany’s IFO Business Climate for March beat the expectation of 90.9 with a reading of 93.3. The Current Assessment and Expectations also outperformed forecasts of 94.1 and 88, with a reading of 95.4 and 91.2, respectively, while EU private loans and M3 Money Supply for February missed the (YoY) expectations of 3.4% and 3.2%, respectively with a change of 3.2% and 2.9%.
On Thursday, Germany’s preliminary harmonised index of consumer prices for March outshone the expected (YoY) change of 7.5% with a change of 7.8%.
EUR/CHF Technical Analysis (the 60-min Chart)
Technically, the EUR/CHF currency pair appears to have completed an upward breakout from descending channel formation. This indicates a significant shift in the market sentiment from bearish to bullish.
Therefore, the bulls will be targeting extended gains at about 0.9974 or higher at 0.9985. On the other hand, the bears will look to pounce on pullbacks at about 0.9954 or lower at 0.9943.
EUR/CHF Technical Analysis (the Daily Chart)
In the daily chart, the EUR/CHF currency pair seems to be trading within a sharply ascending channel formation. This indicates a strong long-term bullish bias in the market sentiment.
Therefore, the bulls will be targeting long-term profits at about 1.0018 or higher at 1.0066. On the other hand, the bears will look to pounce on pullbacks at about 0.9913 or lower at 0.9861.