Ok, spurious link at best, but one currency is unwinding like it’s got Jaws on the end of the line, while the other is still waiting for a bite and wondering if there’s any bait left on the hook.
EUR/CHF is starting to look very poorly once again and we’re testing both the 55 and 100 dma’s around 1.2300.
The previous lowest low was at the end of April at 1.2195.
A break of 1.22 would target the 55 wma at 1.2160 while below that is the Feb/ early Apr lows around 1.2117/30 which were held up by the 200 dma.
It was rumoured that the SNB were lurking around 1.21 in case things got really messy last time but they can’t seem to get a break and see this thing firmly take off from the peg.
So let’s get that peg chat back on the stove.
Do you see them getting impatient with these moves and raising the peg, and if so when and by how much?
Where would EUR/CHF be trading today if the SNB hadn’t imposed the peg?
