Central Bank interventions in the currency market are generally aimed at keeping the relative value of the domestic currency in line with monetary and economic policies of the country involved. Such interventions normally lead to significant and unexpected movements when measured against the average Daily and Weekly market ranges of most currency pairs. This was evident on September 6 when the market reacted to the SNB`s declaration to defend a 1.20 rate for the EURO CHF, sparking an immediate depreciation of 10.0%. While many may believe that future Swiss Franc weakness will be due entirely to the SNB, there are others who believe that it was already on the cards, based on the natural laws of Fibonacci prices.   When currency pairs are found to be moving in sync with Fibonacci Prices on the Monthly Charts, these targets tend to lead to major price reversals. This appears to be the present scenario for the EURO CHF which has been rallying since it breached the major Fibonacci target of 1.0839 last month. Given the precedent of similar rallies at Fib targets in 2008 and 2010 for this same currency pair as well as for the GBP CHF, it is very likely that the overall depreciation th…
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