Forex: EUR/CHF breached 1.2300

The Swiss franc continues to gather buying interest on Friday, accentuated after the unemployment rate in the Alpine economy dropped to 3.1% in January, beating expectations and previous prints at 3.4% and 3.3%, respectively. In the same tone, Swiss retail sales jumped 5.1% on a yearly basis during December vs. 3.2% expected and November’s +3.0%.

“Focus is currently on support and below 1.2258 will trigger a deeper retracement to 1.2173/68… where we would expect to see stabilisation”, suggested Karen Jones, Head of FICC Technical Analysis at Commerzbank.

At the moment, the pair is down 0.06% at 1.2294 and a dip below 1.2257 (low Feb.5) would bring 1.2232 (MA55d) and finally 1.2187 (low Jan.14).
On the upside, resistance levels line up at 1.2351 (MA10d) ahead of 1.2384 (MA21d) and then 1.2503 (Upper Bollinger).