EURCHF reversing lower from trendline ahead of ECB meeting

EURCHF has been on the rise of late, with the choppy nature of the financial markets bringing a period of upside for a markets that has been in a relatively consistent downtrend of late. The risk-off sentiment seen throughout markets should bring gains for the swiss franc given its haven status, with the euro coming into focus today as Christine Lagarde steps up to likely bring an end to the tightening process that has seen 10 consecutive hikes from the ECB. Recent declines in the eurozone inflation picture have been driven by a notable drop in German CPI, helping to alleviate the pressure on the ECB to continue hiking. With markets widely expecting a rate pause today, the tone will likely signal a willingness to act further if need be. That data dependency will remain prominent around the globe given risks of an energy driven inflation surge. Nonetheless, a dovish shift from the ECB could bring further downside here, with a bearish trend remaining in play unless price rises through the recent swing-high of 0.95155. The existence of this descending trendline should limit the chances of such an upside break, with price weakening from a confluence of trendline and Fibonacci (61.8%) resistance.