EUR/CHF About To Pop Higher?

The EUR/CHF is a forgotten currency pair and rightly so because it hardly moves. So why bother writing about it? Well, I think it is about to start trending higher again and become more active. Don’t expect it to behave like Bitcoin or the Dow, but it should provide a good, stable, trade for the bulls given the ongoing “risk-on” sentiment.

I have recently written bullish forecasts on the GBP/CHF due to Brexit being avoided etc., and the private group ledges have benefitted from this pair already, as you can see from the following before/after charts:

(Click on image to enlarge)

GBP/CHF weekly

Source: TradingCandles.com and TradingView.com

(Click on image to enlarge)

GBP/CHF daily

Source: TradingCandles.com and TradingView.com

(Click on image to enlarge)

GBP/CHF after

Source: TradingCandles.com and TradingView.com

But like the pound, the euro could now also climb higher, especially against haven currencies like the franc and yen as we hopefully head towards more normal times ahead later this year.

Anyway, straight to the point: the EUR/CHF monthly is looking bullish to me:

(Click on image to enlarge)

EUR/CHF monthly

Source: TradingCandles.com and TradingView.com

The monthly chart shows the long-term bullish trend has been defended for several months now and rates have broken above the bearish channel. The path of least resistance is to the upside again.

It is a very slow-moving pair, so if you do trade it long, make sure you don’t expect the moon, and too quick.

But the key takeaway point from this article is that the forgotten currency pair could be about to pop higher and become mainstream for FX traders again.

Disclaimer:  

Trading leveraged products such as FX, CFDs and Spread Bets carry a high level of risk which means you could lose your capital and is therefore not suitable for all ...

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