The USD/CHF pair fell a bit during the Wednesday session, pulling back from the 0.92 handle. The pair has been very bullish as of late, so this kind of reaction at a major handle will do little to dissuade the bulls in this pair. The action suggests a possible pullback, and we see this as a buying opportunity for those that aren’t involved in this pair currently.
With the Swiss National Bank working against the value of the Franc, we don’t sell this pair. The pair would have to break to new lows in order for us to sell, and this would more than likely risk the Swiss getting involved as the EUR/CHF will certainly have broken the 1.20 level at that point. We are buying pullback, and the supportive candles that come after them.
Written by FX Empire