Forex Market: GBP/CHF trading forecast for Monday

During Friday’s trading session GBP/CHF traded within the range of 1.5210-1.5283 and closed at 1.5272, adding 0.42% for the day and 1.72% for the week.

Fundamental view

United Kingdom

Rightmove is expected to release official data on its UK house price index for June at 23:01 GMT on Sunday. In May, UK house prices jumped 8.9% compared to the same period ago.

The index presents the results of a monthly survey of real estate prices announced by vendors. It observes the changes in house prices on a monthly and annual basis, providing an overview of the current state of the property market in England and Wales. The index is published on Rightmove.co.uk. This is the percentage change in the index over the corresponding month a year earlier.

Switzerland

At 7:15 GMT on Monday, the Swiss Federal Statistical Office is scheduled to release its PPI index for May. In April, the index unexpectedly dropped 1.2%.

The PPI refers to goods produced and sold domestically or exported by Swiss companies. Goods includes raw materials, starting materials, semi-finished and finished products. Prices of goods are measured at the first marketing step in the production of the good, prices FOB or EXW as the VAT is not included, as opposed to indirect taxes. This is the percentage change from the same month a year ago.

Higher-than-expected readings will certainly heighten the appeal of the Swiss franc.

Technical view

On Monday, according to Binary Tribune’s daily analysis, in case GBP/CHF manages to breach the first resistance level at 1.5300, it will probably continue up to test 1.5328. In case the second key resistance is broken, the pair will probably attempt to advance to 1.5373.

If GBP/CHF manages to breach the first key support at 1.5227, it will probably continue to slide and test 1.5182. With this second key support broken, the movement to the downside will probably continue to 1.5154.