Pound / Franc: January Lows Loom Large

Given the old adage that ‘the trend is your friend’ we expect the established downtrend in GBP/CHF to extend further to a fresh downside target at 1.2420, at the January 10 lows.

The Pound-to-Swiss exchange rate is trading at around 1.2620 at the time of writing, up on the current week's low which is registered down at 1.2539, with studies suggesting the likely development of a sideways trend short-term but with a downside bias over the multi-day timeframe.

“For June we recommend buying a seasonal basket which is long 50% AUD, 25% CHF, 25% CAD and short 50% NOK and 50% USD”- SEB.

The Pound-to-Franc exchange rate is trading at around 1.2600 at the time of writing, a quarter of a percent lower on the week, with studies suggesting either the possibility of more downside or of a heightened chance of a sideways trend forming in the days ahead.