EUR/CHF 1H Chart: Channel Up

EUR/CHF continues the rally that it started in the early days of May. And while at the moment the currency pair is facing some difficulties—it is coming off the recent highs, this is likely to be only a temporary phenomenon, as there is a bullish channel emerging on the chart, meaning that the outlook remains positive.

Accordingly, we expect the support at 1.2211, consisting of the 200-hour SMA, daily S1 and, most importantly, of the rising trend-line, to prevent further sell-off of the Euro against the Franc and help the common currency regain an upward momentum. Then EUR/CHF could try advancing beyond 1.2238 once again.