From Traderpedia

Definition: The interest rate on 3-month Swiss-denominated deposits held in banks outside Switzerland.

Euroswiss, also called "Swissy" by locals, serves as a valuable benchmark for determining interest rate differentials to help estimate exchange rates.

Using a theoretical example on USD/CHF, the greater the interest rate differential in favor of the eurodollar against the euroswiss deposit, the more likely USD/CHF is to rise. Sometimes, this relation does not hold due to the confluence of other factors.