EUR/CHF to see a dip below 1.0700 towards the 1.0640 support – SocGen

The decline in EUR/CHF to within 0.2% of 1.07 has got the attention of the Swiss National Bank (SNB) it seems. Next supports for the pair are at 1.0700 and 1.0640, as economists at Société Générale note.

EUR/CHF in proximity to potential support

“An increase in sight deposits by over CHF1 B in the past two weeks suggests that intervention has resumed.”

“EUR/CHF appears to have resumed its down move after struggling to establish itself above short-term Moving Averages.”

“Low formed earlier this month at 1.0718/1.0700 and 1.0640 are short-term supports.”