Last Thursday’s signals produced a profitable short trade from the bearish inside candle rejecting the resistance level at 1.0059. It made the 20 pips minimum profit before the price turned.
Today’s USD/CHF Signals
Risk 0.75% per trade.
Trades must be taken before 5pm London time today only.
Short Trades
* Go short after bearish price action on the H1 time frame following the next touch of 1.0111 or 1.0139.
* 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.
Long Trades
* Go long after bullish price action on the H1 time frame following the next touch of 1.0034 or 0.9997.
* 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.
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
There is little else to say about this pair than it is simply bullish, continuing to rise steadily with the occasional plateau. This pair is always a little slippery and unpredictable, with stops tending to get hit when they are placed in natural places. The most interesting feature of the current situation is that the price is now beginning to approach an area of key long-term swing highs. The level at 1.0111 has often been significant and so it could be strong resistance if reached. The price already seems to be pulling back after getting close to it.
There is nothing due today regarding the CHF. Concerning the USD, the Chair of the Federal Reserve will be speaking at a conference at 9:10pm London time.