GBPCHF: Technical reboundTrade: As long as 1.2600 is support look for 1.2770 and 1.2890.
Day Ahead: www.keytomarkets.com
We see few important Central Bank policy meetings includes Swiss Nation Bank and Norges Bank.
We expect SNB to remain on hold, whereas the Norges Bank is likely to deliver first rate hike in seven years from 0.50% to 0.75%.
With the recent NOK strength, we believe this week’s rate hike is nearly priced in, but further NOK appreciation will be available if the Norges bank hints the second hike in December 2018.
Data wise, there are no market moves for the euro and US dollar today. Elsewhere UK Retail sales grab the attention. We expect UK retail sales set to fall in August. We expect a contraction to 0.0% or even into negative territory. Back in July, retail sales increased by 0.7% from a decrease of 0.5% in June.
