EUR/CHF - Trying to Form a Short-Term Base
EUR/CHF has successfully tested the low of its horizontal range defined by the support at 1.2134 and the resistance at 1.2166. The shortterm buying interest is improving as can be seen by the test of the hourly resistance area defined by the declining trendlines (around 1.2158). However, the horizontal range needs to be broken to negate the downside risk at 1.2104 implied by the previous symmetrical triangle.
In the longer term, prices are moving in a broad horizontal range between the key support at 1.2104 and the resistance at 1.2261.
In September 2011, the SNB put a floor at 1.2000 in EUR/CHF, which is expected to hold in the foreseeable future.