Yesterday’s signals were not triggered as neither of the key levels were ever reached.
Today’s USD/CHF Signals
Risk 0.75% per trade.
Trades may only be entered between 8am and 5pm London time today.
Long Trades
• Long entry after bullish price action on the H1 time frame following the next touch of 1.0059.
• Place the stop loss 1 pip below the local swing low.
• Adjust the stop loss to break even once the trade is 20 pips in profit.
• Take off 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to run.
Short Trades
• Short entry after bearish price action on the H1 time frame following the next touch of 1.0111 or 1.0139.
• Place the stop loss 1 pip above the local swing high.
• Adjust the stop loss to break even once the trade is 20 pips in profit.
• Take off 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to run.
The best method to identify a classic “price action reversal” is for an hourly candle to close, such as a pin bar, a doji, an outside or even just an engulfing candle with a higher close. You can exploit these levels or zones by watching the price action that occurs at the given levels.
USD/CHF Analysis
This pair’s support and resistance levels are holding quite well in the absence of any strong trend, although there is a bullish bias making its presence felt. Yesterday the resistance level at 1.0111 held and it might do so again today although I think it is more likely to break if tested, as we are now seeing a bullish break of a short-term bearish trend line. Again, a break up above 1.0140 would be a bullish sign suggesting a resumption of the previous long-term bullish trend.
There is nothing due today regarding the CHF. Concerning the USD, there will a release of PPI data at 12:30pm London time.