EUR/CHF: More consolidation first but year-end target at 1.12 - Credit Agricole
Credit Agricole CIB Research discusses EUR/CHF outlook and adopts a neutral bias in the near-term and a bullish bias over the medium-term.
"The CHF has been consolidating for most of the past few weeks with crosses such as EUR/CHF trading broadly range-bound. This is unlikely to change anytime soon with balanced speculative positioning pointing towards low position squaring-related risks and as there is little scope for changing policy differentials," CACIB notes.
"Our long-term outlook on the CHF, however, remains one of depreciation with our year-end EUR/CHF target standing at 1.1200," CACIB adds.
For bank trade ideas, check out eFX Plus.