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USD/CHF Forex Signal - 18 February 2015

By Adam Lemon

Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.

USD/CHF Signal Update

Yesterday’s signals were not triggered because the price did not reach 0.9358 before 5pm London time.

Today’s USD/CHF Signals

Risk 0.75% per trade.

Trades must be entered before 5pm London time today.

Short Trade 1

  • Go short after bearish price action on the H1 time frame before the next hourly close above 0.9393.

  • Place the stop loss 1 pip above the local swing high and in any case above 0.9406.

  • Move the stop loss to break even once the trade is 30 pips in profit.

  • Take off 50% of the position as profit when the trade is 30 pips in profit and leave the remainder of the position to ride.

Long Trade 1

  • Go long after bullish price action on the H1 time frame immediately following the next touch of 0.9166.

  • Place the stop loss 1 pip below the local swing low.

  • Move the stop loss to break even once the trade is 30 pips in profit.

  • Take off 50% of the position as profit when the trade is 30 pips in profit and leave the remainder of the position to ride.

USD/CHF Analysis

Finally, after more than 2 weeks of consolidating, the price has moved into the anticipated supply zone between 0.9358 and 0.9393. As soon as there is a reversal on the hourly time frame and a move down with some momentum, this should be a good opportunity for a short trade. If the price breaks out strongly above 0.94, that will be a very bullish sign and the area at 0.9400 would probably flip to become supportive.

USDCHF 21815

There are no events scheduled for the EUR today. Regarding the USD, at 1:30pm London time there will be a release of Building Permits and PPI data. After the close at 7pm London time, there will be a release of FOMC Meeting Minutes which should be the most important news event of the day.

Adam Lemon
About Adam Lemon

Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.

 

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