FXF Swiss Franc washed out at key support

Wave after wave of selling has driven the Swiss Franc back to new lows over the previous 6 months. Note the psychological breaks of support that should wipe out any "weak" holders of FXF. With Gold on a rebound from the $1500 level and with ongoing trouble in Euro-Land, it would appear that this is a safe entry at the lowest risk. Should FXF break 102, I would exit and look for a climb back over 103.50 to signal a possible re-entry. This ETF isn't active by any means, but currency markets are, so there is potential for liquidity.

13 weeks of time here at 103 to 103.50 in the rally from 86 to 140 alerts me that this is THE MOST important support level for the Swiss Franc. This is the most frequent price and therefore "value".

By: Technical Tim, Tuesday, Jan 10, 2011 1:38PM EST