FxWirePro: GBP/CHF holds marginal gains, Brexit optimism supports pound

GBP/CHF chart - Trading View 

Spot Analysis:

GBP/CHF was trading 0.29% higher on the day at 1.2679 at around 08:30 GMT

Previous Week's High/ Low: 1.2674/ 1.2501

Previous Session's High/ Low: 1.2714/ 1.2641

Fundamental Overview:

The EU's suspension of legal action over the NI protocol supports sterling. 

UK scraps quarantine rules for fully vaccinated EU, US travelers, adding to positive sentiment.

Technical Analysis:

- GBP/CHF continues choppy trade below daily cloud

- Price action remains capped between 55 and 110 EMAs

- The pair has halted 4 week's of downside with 'Hammer' formation on the previous week candle

- 200-week MA is now major support on the downside, retrace below will negate any further gains

Major Support and Resistance Levels:

Support - 1.2619 (200-week MA), Resistance - 1.2680 (55-EMA)

Summary: GBP/CHF is extending choppy trade as price action remains capped between 55 and 110-EMAs. Momentum is bullish, Stochs and RSI are biased higher. Cloud breakout will buoy bulls in the pair.