Yes, of course. For a while.

They’ll absorb lots and lots of selling but you can forget any grand scheme to launch EUR/CHF to 1.3000 or some such nonsense.

I’d expect them to take in several tens of billions of euros at 1.2000 if forced to, but at some point will abandon the peg if they are forced to build reserves beyond some reasonable limit.

I’d expect the intervention to pay diminishing returns. The first round of buying will spark somewhat of a bounce but subsequent will provoke smaller and smaller bounces. Eventually, when we stop bouncing at all, they will pull the plug…

Just one man’s opinion.