EUR/CHF

I think it is safer to long EUR/CHF as long as SNB doesn't change its mind. SNB seems pretty determined.

* Swiss govt examining offshore deposit tax motions
* Parliament would have to vote on any draft law
* SNB chief rejected deposit tax for curbing franc strength

ZURICH, Dec 1 (Reuters) - Switzerland's government said on Thursday it will examine proposals to tax offshore deposits as part of measures to curb Swiss franc strength that threatens to tip the economy into recession.
The multi-party seven-member cabinet said it was ready to consider two parliamentary motions requesting that it create the legal framework for such a tax, to supplement the central bank's arsenal for fighting currency strength and protect the economy.
Parliament would have to vote on any draft law.
"The government is prepared, as part of its overview of flanking measures, to consider those that do not fall within the sole competence of the central bank," the government said in a statement in response to the two motions.
(Reporting by Catherine Bosley)

The Swiss Parliament election will be on Dec. 14. imp, It's rational that they don't want to postpone their schemes to the next parliament. Moreover, the best time for selling luxury products is new year and Christmas. So, I think they will do sth before the end of year.

The euro crisis will continue for a long time and we must adjust ourselves to a long term strong franc. The banks must increase their capital base, so that may arise in the shock case, not a chain reaction. In a crisis, but systemically important parts need as possible, for example the payment of a bank are released. The main tool in this crisis is the intervention by the SNB. Probably they must increase the exchange rate at the minimum to 1.30. How the market will react and how much effort can operate while the SNB, can hardly be predicted.
presentation by Prof. Dr. iur. Daniel Jositsch at the University of Zurich On 28 November 2011.

imo, the consensus in Switzerland is increasing the cap, sth between 1.3 to 1.4.

SIgurs : Still there ?!?

Oh yes, still around. Was watching soccer. Eur/chf at 1.35 ? Lol

Tomorrow for sure

Finally they have considered that one. Many months ago the SNB and all the Gurus in this world said that negative interest is not an option but after that swap stunt pulled of by the US this week maybe they have..........

Regardless of all the statement chart is becoming clearer.
Still on the sidelines for now.

Eur.chf is hardly moving.. have the SNB set a new Cap..

Swiss recession possible in 2012 -economics official


ZURICH | Thu Dec 1, 2011 7:23am EST

Dec 1 (Reuters) - A recession is possible in Switzerland next year as the strong Swiss franc further hampers economic momentum, an official at Switzerland's State Secretariat for Economic Affairs (SECO) said on Thursday.
"A technical recession is possible," Aymo Brunetti, head of the SECO's economic policy unit told Swiss television's mid-day news programme in an interview. A recession is usually defined as two consecutive quarters of negative growth.
Data earlier in the day showed Swiss economic growth slowed to its weakest pace in more than two years in the third quarter as the strong franc hit exports.

It seems SIgure is the only member of opposite wing. If we can convince him, we would see new floor.

Hey guys,

I was wondering if SNB would to intervene where would a good pending buy stop be placed?


Thanks.

Mjomha

UBS lowered its Swiss 2011 GDP forecast to 1.7% from its previous forecast of 2%, and cut its Swiss 2012 GDP forecast to 0.4% from 0.8%

hi,

I have buy stop at: 1.2480 with 30pips s/l
good luck

FXstreet.com (Barcelona) - Annual Swiss Real Retail Sales decreased 0.2% in October, following a 1.4% fall in September, according to data released by Swiss Statistics.

Analysts expected the indicator to register 1.2% growth.

Retail sales in Switzerland remained unchanged on an annual basis in October in line with economists' expectations, the Federal Statistical Office said Friday. In nominal terms, retail sales dropped 3.3 percent year-on-year. On a seasonally adjusted month-on-month basis, sales rose 2.5 percent in real terms and 1.6 percent nominally. Even after excluding fuel, retail trade recorded zero growth during the month. In nominal terms, it fell 3.5 percent. On monthly basis, sales other than that of fuel increased 3 percent in real terms.

"EUR/CHF is consolidating the rally to 1.2395 yesterday. The cross jumped from 1.2250 to the highs after reports the Swiss government said it is willing to consider negative interest rates as part of fresh measures to support the SNB's efforts to weaken the franc and help the economy. The subsequent pullback tested 1.2320 but demand at the lows supports. Gains so far this morning in Europe have tested 1.2355. We expect EUR/CHF to hold at the higher levels ahead of Tuesday's CPI release and there remains a good chance the SNB will raise its EUR/CHF 1.2000 floor at their Dec 15 meeting to 1.2500, possibly even to 1.3000.

The 21-day MA comes in at 1.2333 on the EUR/CHF charts and the break and close above the line yesterday is encouraging for further gains. The upper Bollinger at 1.2445 is a viable upside target level although offers are noted at 1.2395/1.2400.

Swiss retail sales fell 0.2% y/y on October and September was revised to -1.4% from -0.9%. EUR/CHF remains bid but reaction to the data was muted."

It seems only rumor can move this pair!
Was negative interest rate another rumor? In forexlive it mentioned as a rumor.

If SNB's next intervention will result in such a fast movement as their last one (Sept. 6), your pending stop order won't have a chance to trigger at the given price.

Weather or not its rumor is not important, the most important matter is its moving...