Stocks can hopefully7 extend their recovery. In that case, a move to trigger a ripple of trailing stops just above the 1.2150 level could come back into play.
EUR/USD is consolidating below the important zone of resistance between 1.2030 and 1.2044.
Shorts are hoping the SNB diversifies some of its euro reserves on rallies to keep the downside pressure in EUR/USD intact. There are only so many billions of EUR/CHF they are willing to hold onto, so the SNB sells EUR/USD on rallies and keeps some of the dollars or diversifies further into other currencies, like AUD…
