On Wednesday, the EUR/CHF currency pair extended the current week’s gains to trade at about 0.9232 after the latest data. The currency pair trades within an ascending channel formation on the 60-minute chart.
The pair has now advanced to trade several levels above the 100-hour moving average line. However, the currency pair pulled back slightly to avoid entering the overbought levels of the 14-hour RSI.
EUR/CHF Fundamentals Overview
From a fundamental perspective, the EUR/CHF currency pair trades during a relatively busy period in the EU market. On Wednesday, Germany’s harmonized index of consumer prices for October matched the forecast (MoM) and (YoY) changes of -0.1% and 2.8%, respectively, unchanged from September.
Earlier in the week, the country’s trade balance for September missed the forecast of 19.2 billion euros, with 15.6 billion euros, down from 17.8 billion euros. On the other hand, the EU’s Sentix Investor Confidence for November fell to 2.4, down from 2.7 in October.
Looking forward, traders will be waiting for the preliminary EU employment change for Q3 on Friday, with expectations pointing towards a slight change of 0.2% compared to 0.1% in Q2. On the other hand, the preliminary EU gross domestic product data for the quarter is expected to remain steady, with (QoQ) and (YoY) changes of 0.4% and 1.3%, respectively.
EUR/CHF Technical Analysis (the 60-min Chart)
Technically, the EUR/CHF currency pair trades within an ascending channel formation on the 60-minute chart. However, the 14-hour RSI has recently pulled back to avoid rallying into overbought conditions.
Therefore, the bears will look to stretch the current pullback towards 0.9213 or lower, down to 0.9194. On the other hand, the bulls will look to ride the current run of gains toward 0.9251 or higher, up to 0.9270.
EUR/CHF Technical Analysis (the Daily Chart)
In the daily chart, the EUR/CHF currency pair trades within a descending channel formation. However, the 14-day RSI has recently bounced back to avoid falling into oversold conditions.
Therefore, the bulls will look to extend the current rebound towards 0.9285 or higher, up to 0.9338. On the other hand, the bears will look to pounce on profits at about 0.9180 or lower, down to 0.9126.
