Forex Flash: Relaxing Eurozone sovereign bond pressures is underpinning a push higher in EUR/CHF –TD Securities

FXstreet.com (London) - Shaun Osborne, Chief FX Strategist Toronto at TD Securities said that EUR/CHF rallied in late April, supposedly amid speculation that the Swiss National Bank (SNB) would attempt to lift the EUR/CHF floor in order to provide a little more support for the domestic economy.

However, since then, she went on to say that weak economic data and the easier bias evident in the outcomes of recent major central bank policy meetings (Fed, ECB, RBA etc.) may serve to support expectations of SNB action at the June policy meeting, we don’t think the case for more easing has been made yet. But that does not mean that EUR/CHF can’t rally a little further near-term. TD Securities continue to target a move to 1.25 for the cross the middle of the year. Shaun Osborne said that they want to buy current spot at 1.2356 and target a move up to 1.2550, risking 1.2295.