Swiss National Bank intervention again can't be ruled out 25 Aug 2016
Yesterday saw declines across the board for the euro but one pair refused to tag along for the ride. Yes folks, it's that ol' chestnut EURCHF.
While EURGBP fell from 0.8580 to 0.8485, EURJPY down to 112.80 from 113.60, EURAUD to 1.4762 from 1.4880, and EURNZD to 1.5371 from 1.5540 amongst a host of others EURCHF had a dip of , er, a heady 28 pips from 1.0898 to 1.0870.
Easy to add 2+2 and make 5 but to this ol' git it smells of our friends at the Swiss National Bank once again putting a bid underneath, conscious that the euro was in steady decline elsewhere.
USDCHF is normally the chosen pair for the SNB to support in their bid to prevent general CHF strength and once again the evidence stacks up at a time when USD sellers generally prevailed.
So for all you CHF traders out there, I'm still recommending dip-buys as the best value play whilst recognizing that we're not exactly flying away on the topside the underpinned status is clearly evident.
Of course my assumptions re the SNB this time, and previously, may well be wide of the mark but when they make no bones about always being ready to step in then it's a fair bet I'm not far off the mark.
Happy, as always, though to be proven wrong if anyone out there has evidence or a theory to the contrary.
Get the support/resistance levels from the EURCHF and USDCHF order boards here .
