Analysts at MUFG Bank expect a bullish outlook for the EUR/CHF exchange rate, as it could benefit from easing recession fears in the Eurozone. KEY POINTS: „After trading in a tight range between 0.9800 and 0.9950 for most of the fourth quarter, the pair has moved higher in recent days, first breaking above the 200-day moving average at 0.99 0 and then above parity . time since the middle of last year. We expect a further move higher, which was between 1.0200 and 1.0500 in the second quarter of last year. „The latest German GDP data for the fourth quarter added to the evidence , that Eurozone economies are proving more resilient in the winter season.” „Given CHF’s role as a regional safe haven, CHF should depreciate as downside risks to the Eurozone continue to diminish. We also believe that EUR/CHF has room to catch up to EUR/USD’s gains since late last year. The SNB recently. intervened to support the CHF. With inflationary pressures globally and in Switzerland now easing, the SNB may become more tolerant of any weakening of the CHF.