EUR/CHF: bullish view
EUR/CHF holds in the recent 1.2400/2500 range. As can be seen from the H4 chart, the pair is forming a triangle, which is likely to be broken to the upside in the nearest future. Today the pair strengthened to 1.2490, but for now the bulls remain too weak to break above the 1.2500 resistance.
According to analysts at Societe Generale, EUR/CHF is expected to break above 1.3000 over the next month. However, in a longer term they expect the pair to be sold on highs: "Real money will wait for breaks higher in EUR/CHF to buy CHF and build up their CHF position as a global hedge for their books".
UBS strategists are also bearish on CHF in the short term: “Further short-term strength in equities is likely to push USD/CHF up, dragging EUR/CHF higher too”.
Chart. H4 EUR/CHF