CHF technical analysis: The Swiss National Bank are not going to be happy
|- Today SNB's Jordan said the Swiss Franc is overvalued.
- Today the CHF is up against all of its major counterparts.
Technical Picture
Today safe haven currencies reign supreme in FX land and CHF is winning the battle.
When it's risk-off mode there are normally three assets to look at Gold, JPY and CHF. If you like you can also look at fixed income markets.
Today USD/JPY is 0.23% lower, Gold is 0.47% higher and USD/CHF is 0.30% lower.
To take it one step further I often look at CHF/JPY this will let me know where cash may be flowing to.
It's marginal but CHF/JPY is 0.09% stronger on the day making the CHF the strongest.
Only the Kiwi dollar is holding up against the Swiss Franc and this is after the RBNZ left rates unchanged when the market had expected a 0.25bps cut.
Earlier on in the session, Swiss National Bank Chairman Jordan stated that "readiness for intervention still necessary" he also added "The situation on foreign exchange markets remains fragile, Swiss franc remains highly valued."
CHF/JPY Daily Chart
As you can see from the daily chart below, the pair is now also in a wedge pattern consolidation phase and CHF just broke out to the upside only to be pulled back in the pattern.
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