EUR/CHF Technical Analysis October 26, 2011

EUR/CHF fell on Tuesday, showing just how weak the Euro could possibly be under all of the noise in the EUR/USD pair. The fact that the Swiss National Bank is willing to buy this pair just 200 pips below, and the market still wants to sell shows just how unwanted the Euro was Tuesday. With the EU member meeting today, we should see some kind of decisive direction for the Euro. The market needs for some kind of certainty out of the EU on its debt and banking issues, if it doesn’t get it, this pair could fall. However, the SNB will be there to push back. Because of this, the real play if to buy this pair if the Euro gets a bid in other markets after the meeting, signaling the market liking what it sees out of the meeting.