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"Swiss central bank's decision to impose a franc ceiling of 1.20 versus the euro was the most important step to help bolster the economy"
- Johann Schneider-Ammann, Swiss EM (based on Bloomberg)
Industry outlook
Being that USD/CHF has violated support at 0.9250, the price is expected to fall down to 0.9080/65. The latter level should provide sufficient support and halt bearish movement. In the long-term USD/CHF should aim for 0.9775.
Traders' sentiment
9 out of 10 positions on USD/CHF are currently long. The currency pair is therefore overbought and might move southwards in the nearest future after long positions are closed.
Long position opened
The initial resistance level for intraday trading is 0.9235. Bulls might establish additional targets at 0.9268 and 0.9307 if the Buck appreciates even more.
Short position opened
Bearish market players will pay attention to a near-term support at 0.9163. The downtrend continuation will establish following targets for traders: S2 at 0.9124 and S3 at 0.9091.
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