The Euro has been slightly positive on Tuesday, as traders continue to take advantage of the carry trade.
EUR/CHF
The Euro has risen a bit against the Swiss Franc in very quiet trading on Tuesday, but that is the norm for this pair, and it's probably worth noting that trading in general is very quiet on Tuesday. I suspect a lot of people are trying to determine whether or not we have a scenario where we get a peace deal in the Middle East or if we find ourselves in a situation where it's a never-ending war.
Top Regulated Brokers
Ultimately, this will have a major influence on the European economy, but it looks like people are willing to bet on the idea that there will be a resolution eventually, and Europe will in fact get the energy it needs.
The Swiss Franc is backed by a central bank that is heavily tied to the zero rate policy, and also will intervene if the Swiss Franc gets too strong. Now, I don't believe that we are anywhere near that level right now, but it is something to keep in the back of your mind.
Key Support and Resistance Levels
The 0.93 level looks to be support, the 0.94 level looks to be resistance, and the main attraction here is that you get paid at the end of every day. Although it's a pair that typically grinds in one direction or another, it's not a quick mover. In other words, you will need to be very patient to take advantage of this, but it could pad your portfolio a bit.
And I typically have a trade or two like this put on at any given moment to take advantage of getting paid at the end of every day. You can think of it as a dividend stock. Ultimately, the Swiss Franc is losing a bit of traction against many currencies right now with the interest rate being so low.
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