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At the Forex currency market Swiss Franc rate continues to decline slightly today, remaining, nevertheless, in the range of 0.9252-0.9370.

Forex forecast: MACD indicator is in the negative area for the pair USD/CHF and it moves along the signal line, not giving a clear signal. Stochastic oscillator is not giving a signal either today, being in the neutral zone.

 Forex recommendations: off the market.

Feasible event scenario at Forex: in case of breakdown at the level of 0.9370, the pair will go to 0.9430 and 0.9480. If the level of 0.9300 is broken down, traders’ targets will become the levels of 0.9260 and 0.9220.

More distant bearish target is  – 0.9200.

The situation in the economy is Switzerland remained almost unchanged today.

According to the data released on Tuesday, unemployment rate in Switzerland reduced to 3.6% m/m in February against the previous rate of 3.8% m/m. In general it is a positive indicator for Swiss economy, which indicates that economic system of the country is being recovering steadily, despite high rate of the national currency.

Statistics on Thursday demonstrated that level of CPI in Switzerland increased by 0.4% m/m (+0.5% y/y) in February against the forecast of growth by 0.3% m/m. Thus, inflation in Switzerland increases slightly so far, which on one hand, indicates economic recovery in the country, and on the other hand, does not give rise to discussions of the interest rate revision.

Level of retail sales in Switzerland declined by 2.6% y/y in January against the fall by 0.8% in December; however external background still remains the main driver of the Franc’s movement, as well as possible withdrawal of the players from risks. It is the factor of trade balance (index rose to the level of 1.96 billion euro in January against the growth to 1.26 billion euro earlier) that helps the CHF to be considered a stable currency, since the country does not require external borrowings.

Earlier indicators showed that employment rate in Switzerland declined to the level of 4.085 billion in QIV against expectations of growth to 4.086 billion; however Franc ignored this information. The data released earlier showed that indicator of consumption UBS in Switzerland fell to the level of 1.676 points (-0.15 points) in January amid decreasing sales in retail sector due to the low demand for new cars. However the indicator still remains above the key level of 1.5, which ensures favorable prospects.

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