EUR/ CHF – Instability in Eurozone may push Euro down further

Dean Wright ,Senior Analyst ,

As the confidence in the Euro continues to fall amid the fears of the fiscal crises in Europe, the EUR dropped sharply against most currencies including the CHF.

The EUR/ CHF has been playing to a Fibonacci projection since 2008 and is currently consolidating after reaching the 161.8 % level.

It is likely that the EURO will continue to fall with the release of the bailout for Ireland in which case, the 1.3038 price level may break and act as resistance, pushing the EURO even further as sellers drive the price down to the 200 Fibonacci level at 1.2257.

Should the EUR/ CHF find buyers, it will most likely be at 1.3038, however the two long targets that have recently been strong resistance are 1.3750 and 1.3934

The provision of third party content is for general information purposes only and nothing sent to you should be construed as providing investment advice or a solicitation to purchase or sell any investment. InterTrader has no commercial interest in FX Knight and does not endorse any recommendation or analysis contained in their material. InterTrader accepts no responsibility for and has no control over the content (including legality, suitability, accuracy, timelines, reliability or availability) of any of the material supplied by FX Knight

Spread betting and CFD trading carry a high level of risk to your capital and can result in losses that exceed your initial deposit. They may not be suitable for everyone, so please ensure that you fully understand the risks involved.

InterTrader is a trading name of InterTrader Limited which is owned and controlled by GVC Holdings PLC. InterTrader Limited is authorised and regulated by the Gibraltar Financial Services Commission and registered with the Financial Conduct Authority in the UK, ref 597312. Registered address: Suite 6, Atlantic Suites, Europort Avenue, Gibraltar.

Losses can exceed deposits