The latest consignment of the Commitment of Traders report, otherwise known as the CFTC Positioning Report, indicates that speculators have...
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EURCHF
Get the latest EURCHF news today, the latest EURCHF price, plus a historical data chart.
The EURCHF pair shows investors how many Swiss francs (CHF) one can buy with one euro (EUR).
What is EURCHF?
EURCHF is not a major currency pair, but is a popular pair among traders, as it is a trending pair, with long moves and less volatility while the volume is high. EURCHF is highly correlated with the USDCHF.
The Swiss franc is considered by traders and investors as a safe haven asset as the Swiss economy offers financial stability. Switzerland’s economy is based on its banking industry and exports followed by tourism. While the eurozone is a broad-based economy.
European Central Bank (ECB) is responsible for the monetary policy of the eurozone, targeting the stability of the currency, and hold the annual inflation rate between 0% and 2%. Variations from the inflation target can lead to intervention by the ECB, which either strengthens or weakens the euro.
Swiss National Bank (SNB) is responsible for the monetary policy and currency stability in Switzerland. Swiss National Bank might intervene to maintain exchange rates within its target levels, in order to support the financial sectors and exports of Switzerland. The SNB interventions can either strengthen or weaken the Swiss franc accordingly. Swiss National Bank for years now, has seen the Swiss franc as too strong and has routinely intervened to soften it.
When there is uncertainty in markets, EURCHF pair will move downwards (less Swiss Francs needed to buy a euro) as traders will move to safe-haven assets. This trend changes when the risk sentiment becomes positive.
Check out our fx calendar on investincube.com for the significant events that could affect EURCHF price, and don’t miss the analysis section which can help you get the most out of your trading.
