The EUR/CHF pair extends it's selling trend to trade at 1.0613, as it's trading in line with our forecast. It's the safe-haven appeal, which is triggering the demand for Swiss Francs. Taking a look at the 4-hour chart, the EUR/CHF pair has broken the descending triangle, which was holding the EUR/CHF pair supported above 1.06679.
The worse CPI data triggered the weakness in the single currency Euro. The inflation data in Germany held at 1.7% in January 2020. The Federal Statistical Office records that consumer prices declined by 0.6% for the month of December. The prices of assets (total) soared by 2.0% in January 2020 from January 2019.
| Support | Pivot Point | Resistance |
| 1.0646 | 1.0679 | 1.0698 |
| 1.0627 | 1.0731 | |
| 1.0575 | 1.0783 |
The new candles are presenting a bit uncertainty among traders, which may induce slight consolidated movement in the EUR/CHF currency pair around 1.0525 area. Below this level, the chances of selling remain solid. Consequently, let's take a selling position under this level to target the next support level of 1.5965.
EUR/CHF - Trade Setup
Sell Below 1.0625
Take Profit 1.0600/ 1.5965
Stop Loss 1.0655
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