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Buyers are making their case heard in EUR/CHF

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Price is above the 100-hour MA and moves towards testing the 200-hour MA


I want to say there’s some hints of SNB intervention here with the swissie also falling against the greenback but this is a bit of a tougher one to call. Price action in EUR/JPY also sees a similar jump across the hourly chart and that makes it hard to determine the case when the lines are blurred across multiple currencies.
But nonetheless, it could be an added reason that is boosting the euro while at the same time dragging the swissie; alongside the good mood in Italian assets that is.
Either way, EUR/CHF is continuing to track higher while I write this and is moving towards a test of the 200-hour MA (blue line) @ 1.1276 now. Price is already looking to hold above the 100-hour MA (red line) @ 1.1252 and that means that the near-term bearish bias has been broken. Move above the 200-hour MA and the near-term bias turns more bullish.
That will be a key first step for buyers in an attempt to try an establish an upside move again.

The other key level comes from the August 2017 low @ 1.1260. That now is a support-turned-resistance level and will be a key area in identifying bias on the daily time frame. Move above it and that means that there is some room to run to the upside for the pair in the near-term once the 200-hour MA breaks as well. However, stay below and that means the bearish momentum looks very much intact still.
It has been a while since the pair has seen such a rebound on an otherwise quiet day. Apart from Italian assets, there is only a mild hint of a risk on mood in markets and yet the swissie is taking a bit of a beating. On a subdued Monday with the chart showing a risk of EUR/CHF running away to the downside, it really does make a good case for Mr. Jordan to finally step in to add to the day’s storyline.

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