CHF: Swiss Franc is still in the state of complete uncertainty

At the Forex currency market on Wednesday morning Swiss Franc rate is getting weak again after the growth on Wednesday morning.

Forex forecast: MACD indicator is in the negative area for the pair USD/CHF, and is going down sluggishly, giving a sell signal. Stochastic Oscillator is making reversal in the oversold zone, shaping a weak buy signal.

Forex recommendations: off the market.Feasible event scenario at Forex: in case of breakdown at the level of 0.8250, the pair USD/CHF will go to 0.8270 and 0.8290.

If the level of 0.8200 is exceeded, the target of decline will be the level of 0.8150.The data on the Swiss trade balance in June will be released today, if the indicator is positive and the balance will expand, the Franc will be able to receive support.According to authorities, Swiss National Bank is solely responsible for the course of monetary policy and in the nearest future it is likely to adopt new, effective measures to achieve price stability.

Representatives of Swiss government noted earlier that national economy is still in good shape despite strengthening of the national currency. As the same time, first signs of cooling in the export sector could be observed and if these symptoms continue to develop, it will have a negative impact on the economy as a whole. Earlier, rating agency Fitch confirmed the ranking of Switzerland at the level of AAA, with a “stable” forecast.According to the representative of Swiss National Bank Mr. Jordan, Switzerland went through the crisis easier than other countries largely, due to its monetary policy and if the country will return to deflation, the CNB knows how to fight it off.

Jordan is concerned, however about recent dynamics of the EUR/CHF, saying that risks will increase when Italy joins the list of the EU problematic countries. Three- month Libor rate remains in the previous range of 0-0,75% with a tendency  to 0.25%. At the same time, the SNB said that GDP growth would amount to 2% this year. Inflation in 2011 is predicted at around +0.9% (previously +0.8%), in 2012: +1.0% (previously 1.15), in 1013: +1.7% (previously +2.0%).   

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