EUR/CHF sidelined around 1.2010

FXStreet (Edinburgh) - EUR/CHF is attempting a flat-line pattern during the European morning today, hovering over 1.2010 and keeping the trade in a very tight range.

EUR/CHF focus on EUR and ECB

The bearish tone of the EUR and the likeliness of further monetary stimulus for the region by the ECB – in the form of quantitative easing – keep the cross under pressure and the SNB more vigilant as it gets closer to the 1.20 target. The recent tops near 1.2100 the figure post-negative rates by the SNB were of course ephemeral, with the cross resuming its downtrend soon after, with the decline in the shared currency as the main driver so far. In the data front, consumer prices in the euro bloc appear as the main event towards the end of the week, while retail sales will be the main release in the Alpine economy.

EUR/CHF levels to consider

As of writing the cross is flat at 1.2010 facing its next resistance at 1.2033 (high Jan.5) ahead of 1.2049 (high Dec.29) and then 1.2053 (Kijun Sen). On the flip side, a breach of 1.200 (SNB target) would open the door to 1.1990 (low Apr.5 2012).

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