As the Swiss National Bank (SNB) has put the 1.20 floor in place, do you think a long is a sure bet? Also, SNB’s Jordan commented 2 weeks ago that they are fully committed to holding the 1.2 level (more info here).
Could this potentially turn into a black wednesday case? One of the greatest examples of central bank currency policy failures in 1992 when the Bank of England tried to stop pound’s devaluation. On September 16, 1992, Black Wednesday, George Soros’ fund sold short more than $10 billion pounds. Finally, the UK withdrew from the European Exchange Rate Mechanism, devaluing the pound, earning Soros an estimated $1.1 billion.
Is pressure growing? When looking at the EURCHF on the macroeconomic level shouldn't it be trading much lower?
what do you think will happen next?
Could this potentially turn into a black wednesday case? One of the greatest examples of central bank currency policy failures in 1992 when the Bank of England tried to stop pound’s devaluation. On September 16, 1992, Black Wednesday, George Soros’ fund sold short more than $10 billion pounds. Finally, the UK withdrew from the European Exchange Rate Mechanism, devaluing the pound, earning Soros an estimated $1.1 billion.
Is pressure growing? When looking at the EURCHF on the macroeconomic level shouldn't it be trading much lower?
what do you think will happen next?