EUR/CHF further rangebound likely – Danske Bank

Jens Pedersen, Senior Analyst at Danske Bank, sees the cross extending its consolidative theme for the time being.

Key Quotes

“EUR/CHF has been trading in the 1.08-1.09 range over the summer as the SNB has capped CHF appreciation via FX interventions”.

“We expect the SNB to remain active in the FX market and still expect EUR/CHF to remain range bound in the coming months, targeting the cross at 1.09 in 1M and 3M”.

“Longer term, we continue to expect fundamentals to support a higher EUR/CHF and keep our 6M and 12M forecasts unchanged at 1.12 and 1.15, respectively”.