When the Swiss National Bank hiked interest rates recently seeing the Swiss Franc strengthen against most currencies especially the Euro. The EURCHF price is heading lower towards the major lows, could the price rebound from here?
Watch the video to learn more…
The Swiss National Bank shocked the markets last week by hiking interest rates by 50bps for the first time since 2007. This sparked strength in the Swiss Franc against the majority of currencies, as this was an unexpected move. Recently the price of EURCHF has dropped aggressively and the strength meter reflected this with EURO dropping from the reversal zone and the Swiss Franc moving into the positive numbers.
Selling pressure continued this week with the price reversing at a minor high. This has seen the price fall into a key low but not a low that could see the price reverse. Recent lows could act as minor support however, if the price was to break this level we could see a move down to parity. When price reached parity before we saw the price rally significantly which could happen again. In the scenario where price meets this level we could look for buyers to step back into the market for an opportunity.
Have you seen our EURGBP analysis? You can watch it here.
Enjoy low spreads and quick trade executions with a live account. Our highly committed customer support team will assist you from your quick account setup to any future concerns. Start trading with Blueberry Markets today.