After posting a low of 111.212 last week Thursday, the CHF-JPY pair has since retraced to just under the 38.2% retracement, which lies at 113.422. The daily technicals are looking bullish, with an imminent upward cross of the MACD, suggesting the formation of an uptrend at the daily timeframe. The relative strength index is also pushing towards 50 and a move above 50 will act as further confirmation of a new upward trend.
Switzerland's trade balance, exports and imports will be released tomorrow. The Swiss National Bank expects a slow but eventual recovery in exports. the consensus forecast for the trade balance tomorrow is 2,646 million CHF vs the previous figure of 1,386 million CHF. A figure higher than forecast should see bulls take further control of the market. With a better than expected trade balance, we should see the rate move higher towards the 50% retracement at 114.105, through the first traditional weekly resistance level.
Switzerland's trade balance, exports and imports will be released tomorrow. The Swiss National Bank expects a slow but eventual recovery in exports. the consensus forecast for the trade balance tomorrow is 2,646 million CHF vs the previous figure of 1,386 million CHF. A figure higher than forecast should see bulls take further control of the market. With a better than expected trade balance, we should see the rate move higher towards the 50% retracement at 114.105, through the first traditional weekly resistance level.