Technical Bias: Bullish
- Euro remained higher against the Swiss Franc and looks set for more upsides in the near term.
- Euro Zone Sentix Investor Confidence released by the Sentix GmbH declined to 18.4 from 18.5 in August 2015.
- Greece Industrial Production released by the National Statistics Service declined by 4.5% in June 2015, more than the market expected.
- EURCHF has a major support area formed around 1.0750, which must hold for more gains.
The EURCHF pair continued to move higher, as buyers were in control. There are a couple of bullish trend lines formed on the hourly chart, which are acting as a catalyst in the near term. Moreover, the pair is comfortably placed above the 100, 200 and 50 hourly simple moving averages, which is a positive sign for buyers.
If the pair corrects lower from the current levels, then it might find support around the highlighted trend line support area. Moreover, the 23.6% Fib retracement level of the last wave from the 1.0621 low to 1.0790 high may also come into play. The 50 SMA is positioned just below it to serve as a support.
On the upside, a break above the last high is needed to set the path for more gain towards the next hurdle of 1.0840.
Euro Zone Sentix Investor Confidence
Earlier during the London session, the Sentix Investor Confidence, which is a monthly survey and points the market opinion about the current economic situation and the expectations for the next semester was released by the Sentix GmbH. The forecast was lined up for an increase from the last reading of 18.5 to 20.2 in August 2015. However, the outcome was just below the forecast, as the Sentix Investor Confidence came in at 18.4.
We can attempt a buy trade as long as the EURCHF pair is above the 50 hourly SMA.