CHF Trade Signals

* Optimal weighting for first target is 80%. When Target price is achieved set remainder with a stop at break even. Trailing stops can improve the performance of this strategy as well.

CHF Commentary -Offers in USD/CHF trailing back to 1.2200 look to cap a rally in the pair. One Swiss player tips some option related supply into the highs but as yet this has not prompted any 1.2200 expiry talk. 1.2197 sits as the session high but spot is back trading in the high 1.2180 area.

Elsewhere, EUR/CHF is encountering offers near 1.6360 and the cross is yet to break into the 1.6370 territory. Should trading break back above 1.6370 then a retracement back to the all-time highs at 1.6292 will be eyed. This could force USD/CHF into the 1.2200 area, where more sellers are seen into 1.2215/25. [GBP/CHF] traded as high as 2.4135 on the back of the Sterling positive repatriation news but the price is now consolidating near the high.

Looking ahead, before the 18:00 GMT double of the FOMC Minutes, from March 20th/21st, and the US Budget release, also for March, the market has the Lacker and Bernanke comments to negotiate (due at 16:45 and 17:00 GMT respectively). There is little due for release on the early run so the status-quo looks set to continue with only a break below 1.2145 altering the equilibrium.