USD/CHF Signal Update
Yesterday’s signals gave a strongly bullish bounce off the support level identified at 1.0060 although there was a doji candle on the bounce which closed just a couple of pips below the level, which may have invalidated the trade. If the trade was taken and profit remains on the table, it is probably a good idea to move the stop up to at least 1.0075.
Today’s USD/CHF Signals
Risk 0.75% per trade.
Trades may only be entered before 5pm London time today.
Long Trades
Go long after bullish price action on the H1 time frame following the next touch of 1.0080 or 1.0055.
Put the stop loss 1 pip below the local swing low.
Move the stop loss to break even once the trade is 20 pips in profit.
Remove 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to ride.
Short Trade 1
Go short after bearish price action on the H1 time frame following the next touch of 1.0118.
Put the stop loss 1 pip above the local swing high.
Move the stop loss to break even once the trade is 20 pips in profit.
Remove 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to ride.
USD/CHF Analysis
I wrote yesterday that “another strong bounce at 1.0060 if the price dips down there again could be a good long trade entry”, and although the bounce started a little lower than that it was the correct way to look at the support and resistance structure prevailing overall.
It is still a little early to be long, but another upwards thrust breaking above the resistance at 1.0119 could logically signal the beginning of a resumption of the long-term USD strength.
There is nothing due today regarding the CHF. Concerning the USD, there will be a release of Crude Oil Inventories at 3:30pm London time.