FxWirePro: EUR/CHF hovers around 50-DMA, outlook bearish

Chart - Courtesy Trading View 

EUR/CHF was trading 0.20% lower on the day at 1.0274 at around 05:55 GMT.

The pair is on a downside for the 3rd consecutive session, outlook is bearish. Price action has slipped into the daily cloud and is currently holding support at 50-DMA.

Momentum is strongly bearish, Stochs and RSI are sharply lower, MACD confirms bearish crossover on signal line.

Investors await the release of the Consumer Confidence in the eurozone for further impetus. Analysts expect an improvement to 21.5 from the previous print of 22.

The Swiss franc bulls in control after the testimony of Swiss National Bank (SNB) Chairman Chris Jordan on Wednesday. 

Jordan said that the Swiss franc (CHF) is a safe-haven asset and continuation of a negative monetary policy is necessary to justify the inflation parameter.

He added that the targeted inflation figure at 2% has been well maintained and any temporary rise above the targeted figure will be diluted quickly by SNB intervention.

Recovery in the pair has been rejected at 200-DMA on the daily and 55-EMA on the weekly charts. Break below 50-DMA and daily cloud will plummet prices.