CHF: Swiss Franc reached new historical high versus USD

At the Forex currency market Swiss Franc continues to rise steadily against the USD, reaching a new historical high. 

Forex forecast: MACD indicator is in the negative area for the pair USD/CHF and is going down, confirming a previous sell signal. Stochastic Oscillator has come into oversold area today, giving a similar signal.

Forex recommendations: if current investors’ sentiments will be maintained, traders’ targets will become the levels of 0.9370 and 0.9350.

So, historical low for the pair USD/CHF has been upgraded, which is now at the level of 0.9374.

According to the data released yesterday, KOF indicator in Switzerland fell to the level of 2.10 in December against its previous value of 2.13; however it still remains at a high level, confirming the belief that country’s economy continues to recover.

The boost in the Eurozone, in Germany in particular helps to normalize the levels of exports in Switzerland, however the world’s economists think that country‘s economy can slow down in 2011, largely due to the strong CHF. 

According to KOF estimates (Swiss institute of research on economic cycles) Swiss Franc will retain the status of a protective asset and a refuge as long as the period of tension will be maintained in Europe.
KOF has also revised its forecast for GDP growth upward in 2011; is it projected that Swiss economy will increase by 1.9% in 2011 against the previous forecast of 1.8%. In 1012 national economy is expected to rise by 2%.
At the meeting of the regulator which was held earlier it was decided to maintain three -month rate Libor in the previous target range of 0-0.75, as expected by the market. Index was revised in March 2009 last time when it was reduced by 0.25%. 
 

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