Correlations in the Currency Market (Part 1)

We often hear about correlations from experts in the currency exchange market. The reason is that correlations are used as a tool to predict the development of exchange rates of a certain currency by deriving it from the development of another one.

Swiss Franc Currency Pairs

It is the start of 2017 so we thought that it would be a good idea to take a look at the technical situation for Swiss Franc pairs.

Of course we have to point out that below you can find only our opinions. It is not possible to predict the exact move direction. Still, we are able to predict where possible resistance and support areas are. This can be important knowledge for someone who wants to change Euro to Swiss franc or other currency.

In the next examples we will check charts with use of technical analysis techniques. We will analyze longer time frames and use mostly yearly Pivot Points.

Happy Holidays!

The Exchange Market team wishes you joy at the holidays and all the best for the coming year!

But is not there a long-term weakening of the Swiss franc over the euro?

The Swiss National Bank SNB intervened less than expected in the foreign exchange market in November, with the euro-franc exchange rate falling below 1.07. Could this mean that the SNB could accept a stronger franc in the long term?

Ten interesting facts about the Swiss Franc

1. The name "franc" comes from Latin: “Francorum rex”. These words mean King of Francs and were found engraved on old French coins

2. The currency code is CHF. It stands for Confoederatio Helvetica Franc

3. The Swiss Franc is also called Stutz, Stei, Amiese, Frankler, Liber

4. Bank deposits in Swiss francs are subject to negative interest rates since 2014