The USD/CHF had a consolidation day on Wednesday as traders are digesting the move by the Swiss National Bank to devalue the Franc. There was talk about a currency peg, but the SNB failed to go that far. Because of this, the market could possibly sell off, but at the moment, we are asking questions of the 0.80 mark. It is also possible that the world will leave the Swiss alone for the moment. Somehow, I doubt that, but it is possible.
The technical analysis says that the 0.80 should hold if there is going to be a sell off. ).83 would be the next resistance area if that level gets overtaken. The candle for Wednesday represents confusion more than anything at this point. In the meantime, we are simply observing.
Written by FX Empire