LitheInvestments'  Instablog

Young investors in particular will be interested in high-yield returns, while accepting some risks in return for their portfolio. As they struggle to put a few dollars towards investing and as they start off in their professional life, there are some prominent growth ideas in the stock and forex markets in this day and age of quickly inflating, devaluing currencies. Two opportunities in particular are found in the AUDCHF and EURCHF currency pairs. The opportunity lies in the momentarily successful price action initiated by the SNB (Swiss National Bank)'s recent intervention and currency floor. This floor for the EURCHF @ 1.2000, initiated in September of last year, has held true and strong with only one small break below the 1.2000 barrier. This could lead to some great profitable growth plays for savvy investors!

#2 AUDCHF (Australian Dollar / Swiss Franc Cross)

When pairing the high interest yield Aussie with the Swiss Franc, the yields with leverage look delicious. Depending on your broker, expect anywhere from 4-8 pips per week in swap gains for holding this pair long. Aussie price action has been bullish, and our goal as carry traders is sideways price action or better.

#1 EURCHF (Euro / Swiss Franc Cross)

While the swap gains with this pair are mediocre at best, the artificial price action creates opportunity for compounding gains with low risk and high leverage tolerance. EURCHF is at a nice spot of 1.2020 and below. Depending on your forex broker, expect 1-2.5 pips per week with this pair. Be slow to sell off your EURCHF holdings in profit as this floor is likely to be held for many months to come.

What's your opinion on the EURCHF? Is it a safe alternative to dividends? From our analysis, the 'Safe Haven Swiss Franc' is now a safe-to-bet-against currency.