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Forex pairs in this Article » USD/CHF (Athens) – The EUR/CHF is trading mostly sidelines the last couple of hours after having spiked on 1.2366 on good news pertaining the US fiscal “jitters”.

EUR/CHF ready to test the 1,2400 handle in the coming days

The EUR/CHF is trading slightly downwards on the early kick off of the European trading session but mostly being caught in a very tight congested range. However the pair has gained an immensely bullish uptrend momentum as it is hovering at 1.2350 well above the confluence of the 200 – daily SMA (1.2320), 50 – daily EMA (1.2317) and 20 – daily EMA (1.2315) at the area as of 1.2315-1.2320. Still our personal aspect is that the pair should overcome the barrier as of 1.2387 (the downtrend line from July) to move above the 1.2400 handle. All in all, as Obama signed the legislation to end the government shutdown and to lift the debt ceiling, the EUR/CHF might also find fundamental support to move higher, as the demand for safe haven assets will probably wane.

Technical Analysis on EUR/CHF

Axel Rudolph, Head Technical Analyst at Commerzbank suggests that the “EUR/CHF continues to trade above the breached six month resistance line at 1.2338. While the next lower 55- and 200-day moving averages at 1.2323/20 underpin, the Fibonacci cluster at 1.2372/81 should be retested. Above it the 1.2415 September and the 1.2435 August highs can also be seen. Support below 1.2323/20 can be seen around the 1.2278/66 August lows ahead of the 1.2217/15 June and September
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