Forex: EUR/CHF spike eyes 1.2400

FXstreet.com (San Francisco) - The euro continues to advance against the Swiss franc in the Asia-Pacific Tuesday, with EURCHF having climbed to a fresh 13-month high, extending as high as 1.2380 vs. 1.2334 late Monday.

The move is underpinned by CHF weakness as its safe-haven appeal softens on a regression of tail risks in Europe, enabling the pair to gain round for a fourth straight day now. "The next key upside pivot in EURCHF appears to be ahead of the 1.25 figure which contains prior highs and the 76.4% Fibonacci retracement of the decline from April 2011 highs to August 2011 lows," says Eric Viloria, CMT, Senior Currency Strategist at FOREX.com.

Should the cross manage to rally above 1.24 in the sessions ahead, there looks to be room for a bullish run to 38.2% Fibonacci retracement resistance around 1.2640. To the downside, a bearish run may encounter support at 1.2180 (Sep 16 high).