EUR/CHF about to pop higher?

The EUR/CHF is a forgotten currency pair and rightly so because it hardly moves. So why bother writing about it? Well, I think it is about to start trending higher again and become more active. Don't expect it to behave like Bitcoin or the Dow, but it should provide a good, stable, trade for the bulls given the ongoing "risk-on" sentiment.

I have recently written bullish forecasts on the GBP/CHF due to Brexit being avoided etc., and the private group ledges have benefitted from this pair already, as you can see from the following before/after charts:

EUR/CHF about to pop higher? - 1 Source: TradingCandles.com and TradingView.com Source: TradingCandles.com and TradingView.com Source: TradingCandles.com and TradingView.com

But like the pound, the euro could now also climb higher, especially against haven currencies like the franc and yen as we hopefully head towards more normal times ahead later this year.

Anyway, straight to the point: the EUR/CHF monthly is looking bullish to me:

EUR/CHF about to pop higher? - 4 Source: TradingCandles.com and TradingView.com

The monthly chart shows the long-term bullish trend has been defended for several months now and rates have broken above the bearish channel. The path of least resistance is to the upside again.

It is a very slow-moving pair, so if you do trade it long, make sure you don't expect the moon, and too quick.

But the key takeaway point from this article is that the forgotten currency pair could be about to pop higher and become mainstream for FX traders again.

Fawad Razaqzada

Experienced financial market analyst, economist and trader. Produces and delivers market commentary and research for TradingCandles.com. Provides premium trade signals to his subscribers. Fawad is an experienced analyst and economist having been involved in the financial markets since 2010 working for leading global FX, CFD and Spread Betting brokerages, most recently at FOREX.com and City Index. Having graduated from Brunel University with a degree in economics and leveraging years of financial market experience, Fawad provides retail and professional traders worldwide with succinct fundamental & technical analysis on his own website at TradingCandles.com. His comments on the markets are regularly quoted by the leading financial publications such as Reuters and Market Watch. Fawad trades his own account and also offers premium trade signals to subscribers, and trading education to help shorten the learning curves of developing traders. He covers a wide range of markets, including major and minor FX pair, key commodities including oil and gold, stock indices and cryptocurrencies.