EUR/CHF Set for Fresh Highs on Carry Trade

The EUR/CHF currency pair is showing signs of momentum to the upside as interest rates in the European Union remain higher than those in Switzerland. According to Christopher Lewis, a technical analyst with DailyForex, this carry trade action will continue to drive the market up unless there's a financial crisis or something specific to the euro.

Lewis notes that the Swiss National Bank has shown no intention of raising interest rates, while the European Central Bank is expected to increase its rate by 25 basis points in September. This disparity will likely lead to further gains for the EUR/CHF pair, with Lewis predicting a fresh new high in the near future.

The analyst also highlights the importance of the 0.93 support level, which was previously used as a bounce point. The 50-day EMA is located at this level, making it a key area to watch for potential buying opportunities.