The EUR/CHF currency pair on Friday bounced off the current multi-year lows of about 0.9880 to surge to 0.9970. The currency pair seems to have now completed a XABCD double-bottom reversal pattern in the 60-min chart.

The currency pair has since surged to trade above the 100-hour moving average line but still remains below the 1.0000 level. On Friday, it briefly crossed into the overbought territory 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 unemployment rate for June matched the (MoM) expectation of 2.2%. However, foreign currency reserves edged lower to 850 billion, down from 925 billion. Earlier in the week the consumer price index for June beat both the (MoM) and (YoY) expectations of 0.3% and 3.2%, respectively with 0.5% and 3.4%.

In the EU, the industrial production for Germany beat the May (YoY) expectations but missed the (MoM) estimate. Earlier in the week, the EU retail sales for May missed the expected (YoY)  change of 5.4% with a change of 0.2%. The (Mom) equivalent also failed to match the forecast of 0.4% with a change of 0.2%. Elsewhere, the S&P Global Composite PMI for June beat the estimate of 51.9 with 52. The Services PMI also outshone 52.8 with 53.

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

Technically, the EUR/CHF currency pair seems to have recently completed a XABCD double bottom reversal pattern formation. This indicates an attempt by the bulls to take control of the currency pair.

Therefore, the bulls will be targeting extended rebound profits at about 0.9970, or higher at about 0.9995. On the other hand, the bears will be looking to pounce for profits at about 0.9923 or lower at 0.9899.

EUR/CHF Technical Analysis (the Daily Chart)

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

Therefore, the bears will be looking to extend the current declines toward 0.9866 or lower to 0.9764. On the other hand, the bulls will be targeting long-term rebounds at about 1.0046, or higher at 1.0148.