Source: PaxForex Premium Analytics Portal, Technical Insight
At the end of the meeting on monetary policy the Swiss central bank took a widely expected decision to maintain the status quo:
- Key interest rate was left at -0.75%;
- The franc remains heavily overvalued;
- The SNB will remain active in the foreign exchange market if necessary;
- The pandemic continues to have a severe adverse effect on the economy;
- Inflation forecast for 2021 0.2% (pre. 0.0%);
- For 2022 0.4% (pre. 0.2%);
- For 2023 0.5%;
- GDP forecast for 2021 2.5% - 3.0%;
- Economic activity should return to pre-crisis levels in the 2nd half of 2021;
- Economic and inflation forecasts still carry a high level of uncertainty.
USD/CHF, 30 min
Pivot: 0.9392
Analysis:
Provided that the currency pair is traded above 0.9380, follow the recommendations below:
- Time frame: 30 min
- Recommendation: long position
- Entry point: 0.9392
- Take Profit 1: 0.9405
- Take Profit 2: 0.9415
Alternative scenario:
In case of breakdown of the level 0.9380, follow the recommendations below:
- Time frame: 30 min
- Recommendation: short position
- Entry point: 0.9380
- Take Profit 1: 0.9370
- Take Profit 2: 0.9360
Comment:
RSI shows the possibility of ascending momentum.
Key levels:
| Resistance | Support |
| 0.9450 | 0.9380 |
| 0.9430 | 0.9370 |
| 0.9415 | 0.9360 |
USD/CHF, D1
Pivot: 0.9392
Analysis:
While the price is above 0.9210, follow the recommendations below:
- Time frame: D1
- Recommendation: long position
- Entry point: 0.9392
- Take Profit 1: 0.9530
- Take Profit 2: 0.9600
Alternative scenario:
If the level 0.9210 is broken-down, follow the recommendations below:
- Time frame: D1
- Recommendation: short position
- Entry point: 0.9075
- Take Profit 1: 0.9110
- Take Profit 2: 0.9020
Comment:
RSI shows the development of an uptrend in the medium-term.
Key levels:
| Resistance | Support |
| 0.9700 | 0.9210 |
| 0.9600 | 0.9110 |
| 0.9530 | 0.9020 |
We also advise you to pay attention to the following currency pairs for intraday trading:
EUR/USD - sell below 1.1785 with 1.1745 and 1.1730 targets as Take Profit. Alternative scenario - if the level 1.1785 is broken-out, buy with the TP 1.1805 and 1.1820.
GBP/USD – sell below 1.3790 with 1.3725 and 1.3700 as Take Profit targets. Alternative scenario - if the level of 1.3790 is broken-out you should consider buying with the targets 1.3820 and 1.3845 as Take Profit.
AUD/USD - long positions above 0.7625 with 0.7695 and 0.7715 targets as Take Profit. Alternative scenario - if the level of 0.7625 is broken-down, sell with the targets 0.7610 and 0.7590 as Take Profit.
