EUR/CHF dithers inside a short-term ascending triangle
EUR/CHF could technically regain strength in the short term, but the fundamentals are increasingly shifting back into the Swiss franc’s favor as the SNB is more likely to accelerate its monetary tightening or even hike rates in urgency between official meetings.
From a technical analysis perspective, the EUR/CHF appears to be consolidating inside a short-term ascending triangle around the parity threshold. Breaking out of this ascending triangle should theoretically come from above, which would open the way for a bounce that could extend to 1.02. However, in the event of an exit from below, a pullback to the recent low at 0.9950 would be expected.
Entry: Buy above 1.0050
Stop: 1.0000 (Buy)
Target: 1.0200 (Buy)
Risk/reward ratio: >1
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