Short-Term Forex Technical Outlook: EUR/CHF.

Summary: The EUR/CHF surged higher following the SNB interest rate decision earlier this month, and as Governor Roth pledges to counter the downside risks of higher...

The EUR/CHF surged higher following the SNB interest rate decision earlier this month, and as Governor Roth pledges to counter the downside risks of higher exchange rates, the euro is likely to strengthen against the Swiss franc as investors increase their appetite for higher-yielding assets.Currency Pair: EUR/CHF Chart: 60 Min Charts Short-Term Bias: Bullish Analysis The EUR/CHF surged higher following the SNB interest rate decision earlier this month, and as Governor Roth pledges to counter the downside risks of higher exchange rates, the euro is likely to strengthen against the Swiss franc as investors increase their appetite for higher-yielding assets. After slipping to a low of 1.4299 in October, the euro-franc snapped back to reach a high of 1.5885 on 12/15, and I expect the pair to work its way towards 1.5486 (200-Day SMA) over the remainder of the week to retrace the sell-off from December. As the EUR/CHF continues to build support around 1.5280-90 (38.2% Fib), a break above the 200-Day moving average should lead the pair towards 1.5540-50 (21.4% Fib), and as risk appetite returns in the currency market, we are likely to see the pair push higher as over the next few hours of trading. Be sure to check out other Technical Reports from DailyFX for additional information on the major currency pairs. To contact the author of this article, please email: dsong@fxcm.com Related Articles: Daily Forex Trend Report Broader Technicals Look To Shore Up USDCAD Range FX Technical Weekly Risk Appetite Seems to Be on The Rebound, But Will It Last?

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