Key Points
- The British Pound remained elevated above the 1.2450 support against the Swiss Franc.
- There is a major resistance formed near 1.2500 on the hourly chart of GBPCHF, which is protecting gains at the moment.
- Today in Switzerland, the Consumer Price Index for June 2017 was issued by the Swiss Federal Statistical Office.
- The outcome was below the forecast, as there was a decline of 0.1% compared to the forecast of 0%.
GBPCHF Technical Analysis
The British Pound started a nice uptrend from the 1.2300 handle and managed to close above the 124.00 resistance against the Swiss Franc. The GBPCHF pair also managed to settle above the 124.50 level and traded with a positive bias.
At the moment, the pair is struggling for a close above the 21 hourly simple moving average, and there is a major resistance formed near 1.2500 on the hourly chart.
On the downside, there is a crucial support trend line at 1.2450 on the same chart, which also coincides with the 50% Fib retracement level of the last wave from the 1.2398 low to 1.2508 high.
Swiss Consumer Price Index
Today in Switzerland, the Consumer Price Index for June 2017 was issued by the Swiss Federal Statistical Office. The market was positioned for no change in the CPI in June 2017 compared with the previous month.
The actual result was below the forecast, as there was a decline of 0.1% compared to the forecast of 0%. In terms of the yearly change, there was a rise of 0.2%, less than the forecast of 0.3% and the last 0.5%. The report stated that:
The consumer price index (CPI) fell by 0.1% in June 2017 compared with the previous month, reaching 100.9 points (December 2015=100). Inflation was 0.2% compared with the same month of the previous year.
Overall, the GBPCHF might gain traction and move above the 1.2500 handle in the near term.
