The Swiss central bank was playing big games behind the bull trend of the USDCHF. Actually, the story is linked to the EURCHF spot rate where SNB did defend the price from falling lower than 1.05 by intervening more strongly in the foreign exchange market to contribute to the stabilization of the situation. The rise in sight deposits showed the SNB was clearly increasing its activity. The 5.8 billion franc increase was the biggest this year and followed an increase of 4.4 billion francs before the 5.8 billion and 2.78 billion francs at the start of March. Currently, the latest report showed SNB total sight deposits April 24, 2020, CHF 650.7 bn vs CHF 637.2 bn prior which made everything clear that how much supply SNB created for its own currency and increased the demand of foreign currencies. The reason behind that bullish reversal on EURCHF after price hitting around 1.05 floor. That was the time when USDCHF also had gained good momentum upward (basically because these two pairs are positively correlated). Bull did well but now what? Fake things stopped working hah? Why we had to see such a huge pullback today when it smashed 70pips+ from the start of this week? It's fishy and seems like manipulation went fine up to this time but lost it's objective or we can say strength to carry on forward. I can only see a mad bull lost vision and aim at this point which creating a natural trend back again. A trend that isn't artificial and acting naturally the way it should have been.
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EURCHF view:
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Switzerland April Credit Suisse investor sentiment 12.7 vs -45.8 prior
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Credit goes to and for further detail you can reach out: www.reuters.com/arti...t-vote-idUSKBN21A1EY