USD/CHF Signal Update
Yesterday’s signals were not triggered as unfortunately the bearish rejection of the identified resistance level at 1.0315 only formed at the end of the session.
Today’s USD/CHF Signals
Risk 0.75% per trade.
Trades may only be entered between 8am and 5pm London time today.
Long Trade 1
Go long after bullish price action on the H1 time frame following the next touch of 1.0200.
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 entry into the zone between 1.0315 and 1.0327.
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 I expected the upwards movement would falter at about 1.0250 and that the resistance at 1.0315 looks strong. I was wrong about the first part but right about the second part. There is still a long-term bullish trend in this pair but weaker than the bearish trend in the highly positively correlated EUR/USD pair, which suggests this is not the best pair to use to long the USD now. Shorting rejections of the strong resistance above is likely to be a better bet.
There is nothing due today regarding the CHF. Concerning the USD, there will be a release of FOMC Meeting Minutes at 7pm London time.