USD/CHF - Looking Bullish But Up Against Reversal Pivot Points

By: Doug Rosen

This pair has reached a 38.2 fib level of the most recent swing low on the weekly chart. The 38.2 is overlapped with the 55 ema and upper Bollinger Band. Stochastics is within the overbought zone. This creates a very bearish feel to me, however, when looking at the daily chart I get an entirely different attitude.



Price is still riding the 5 ema upward and the 5 ema has crossed above the 233 ema. I would like to note however, that we are in a fib zone of the recent drop. We are just above the 38.2 level. Price at anytime could roll over to the downside. The Stochastic also just happens to be in the overbought zone. Price is currently poking through the Monthly R2, yet it continues to ride along the 4 hour ema's. Price came up to the weekly M4 pivot point and was pushed back down. It is now beginning to appear price wants to head back up for another stab at the weekly M4. Price continues to ride the hourly ema's, the hourly Bollinger Band is pointing up and the Stochastic is pointing up. Looks extremely bullish to me.



Looking at the 15 minute chart the ema's are all pointing up and there is much angle and seperation between the 21 and 55 ema's which indicates the market is moving up quickly for this pair, however, we are up against reversal pivot levels on the monthly, weekly and daily pivots. For now I would just keep taking longs off of support levels and look to take scalp shorts off of the reversal pivot levels when reached.