{"id":12453,"date":"2010-08-27T07:58:24","date_gmt":"2010-08-27T11:58:24","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=12453"},"modified":"2010-08-27T07:58:24","modified_gmt":"2010-08-27T11:58:24","slug":"usdchf-bearish-until-snb-intervention","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2010\/08\/27\/usdchf-bearish-until-snb-intervention\/","title":{"rendered":"USD\/CHF \u2013 Bearish Until SNB Intervention"},"content":{"rendered":"<p><strong>By Russell Glaser<\/strong> &#8211; The Swiss franc continues to perform well, particularly versus the  two major currencies the dollar and the euro. Traders are anticipating  intervention by the Swiss National Bank (SNB) to halt the appreciation  of the franc. The assumption is the SNB will jump in and attempt to  weaken the franc on the open market. This provides traders an  opportunity to enter into a strong trend as the USD\/CHF targets its 2010  low.<\/p>\n<p>The franc was stronger today with the  USD\/CHF trading as low as 1.0221before closing 1.0250. This follows an  opening day price of 1.0280. The EUR\/CHF was also lower, trading at  1.3025, after opening the day at 1.3072.<\/p>\n<p>Many have been <a href=\"http:\/\/www.forexyard.com\/blog\/en\/2010\/08\/12\/usdchf-range-trading-opportunity\/\">caught<\/a> off guard following the strength of the franc despite its reputation as  a safe haven asset. The renewed vigor follows the last time the SNB  ended its intervention in the currency markets and the USD\/CHF dropped  10% of its value.<\/p>\n<p>In addition to safe haven buying, fundamentals in the Swiss economy  are also a positive for the franc. According to SNB board member  Jean-Pierre Danthine, deflationary pressures have all but disappeared.  Retail sales in July climbed 0.9% from the previous month.  Today the  Swiss employment level was released on par with market estimates of  3.97M. Speculators may also have a hand at pushing the Swiss franc as  far as it will go until the SNB shows its resolve to stop the  appreciation.<\/p>\n<p>Looking at the technicals, the USD\/CHF is currently trading at the  support level on the weekly chart of 1.0250 (S1). We will be looking for  a close below this level to trigger further selling. The next target  for the pair rests at the January low for the pair at 1.0130 (S2). Any  move to the upside should see resistance at this week\u2019s high of 1.0450,  followed by the downward sloping trend line that begins in the middle of  July.<\/p>\n<p><a href=\"http:\/\/www.forexyard.com\/blog\/en\/wp-content\/uploads\/2010\/08\/USDCHF1.JPG\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone\" src=\"http:\/\/www.forexyard.com\/blog\/en\/wp-content\/uploads\/2010\/08\/USDCHF1.JPG\" alt=\"\" width=\"590\" height=\"699\" \/><\/a><\/p>\n<p><em><strong>Forex <\/strong><strong>Market Analysis provided by <a href=\"http:\/\/www.forexyard.com\/?zone_id=1398\" target=\"_blank\">ForexYard.<\/a><\/strong><\/em><\/p>\n<p>\u00a9 2006 by FxYard Ltd<\/p>\n<p>Disclaimer: Trading Foreign Exchange carries a high level of risk and                                                     may not be suitable    for     all            investors.       There    is  a                   possibility           that             you   could       sustain a   loss       of  all     of       your                 investment and                 therefore  you             should   not       invest         money    that     you              cannot    afford to            lose.  You             should    be       aware  of        all       the      risks             associated     with       Foreign          Exchange           trading.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>By Russell Glaser &#8211; The Swiss franc continues to perform well, particularly versus the two major currencies the dollar and the euro. Traders are anticipating intervention by the Swiss National Bank (SNB) to halt the appreciation of the franc. The assumption is the SNB will jump in and attempt to weaken the franc on the &hellip; <\/p>\n<p class=\"link-more\"><a href=\"https:\/\/www.investmacro.com\/fx\/2010\/08\/27\/usdchf-bearish-until-snb-intervention\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;USD\/CHF \u2013 Bearish Until SNB Intervention&#8221;<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-12453","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/12453","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/comments?post=12453"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/12453\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=12453"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=12453"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=12453"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}