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"Monetary policy can be used to damp cyclical fluctuations. It is not suitable for short-term fine-tuning of the economy."
- SNB President (based Bloomberg Businessweek)
Pair's Outlook
Area through which the pair plummeted it the end of the last week (0.913/17 ) is acting as a very strong resistance at the moment. It is likely to keep the pair in check in the nearest future as well as it continues to face significant downside risk. In order to uplift most if this risk, the pair should peak above the 0.923, in such case 0.923 would be next interim target. In case the pair dips below 0.903 we could see it trailing to 0.89.
Traders' Sentiment
Despite the initial bearishness in the beginning of the week, market sentiment seems to have stabilized and is holding at pretty much the same levels as yesterday. Bulls account for 71% (+1% since yesterday) of market participants and 66% of pending orders remain in favour of the bulls.
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