Last Thursday’s signals produced a losing trade following the bearish doji-type pin candle rejecting the resistance zone identified between 1.0129 and 1.0155.
Today’s USD/CHF Signals
Risk 0.75% per trade.
Trades must be taken before 5pm London time today only.
Long Trades
Go long after bullish price action on the H1 time frame following the next touch of 1.0059 or 1.0003.
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 1.0141 and 1.0155.
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.
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
The long-term bullish trend is over, but if the price can break up above 1.0155 and stay there it would be back on track. For that reason, as the Swiss Franc remains one of the more stable currencies, I think this pair is mostly going to range to shorting the resistance close to 1.0155 will probably continue to be a good move. There are also some good support levels below that should provide opportunities to go long for conservative profit targets.
There is nothing due today concerning either the CHF or the USD.