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Hardy: EURCHF still seeing wide trading range

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The fallout from the decision to abandon the Swiss franc ceiling against the Euro continues with even more focus on Thursday's ECB meeting. Saxo's Head of FX Strategy, John Hardy, says EURCHF has seen wide trading ranges so far this Monday with EURUSD showing some signs of consolidation. 

He also believes the market has priced in a significant amount of QE ahead of the ECB's meeting and that it will be interesting to see the size and nature of the programme.

Hardy also discusses current speculation that there could be currency contagion affecting, for example, the Danish krone. He says there is a 'theoretical risk' that the Danish Central bank could abandon the DKK Euro peg but that it would be an 'odd set of circumstances' that would lead to such a decision.