Yesterday’s signals were not triggered as there was insufficiently bearish price action at the area of resistance identified at about 1.0000.
Today’s USD/CHF Signals
Risk 0.75% per trade.
Trades may only be entered between 8am and 5pm London time today.
Short Trade 1
- Short entry after bearish price action on the H1 time frame following the next touch of 1.1011.
- 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.
Long Trades
- Long entry after bullish price action on the H1 time frame following the next touch of 1.0000.
- 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.
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
It was no surprise that the Euro fell today once “peak Euro” profit taking was reached in the aftermath of the victory of pro-establishment Emmanuel Macron in the French Presidential election, and that move in the EUR/USD was aided by some amount of renewed strength in the U.S. Dollar. Although the Swiss Franc has a high degree of positive price correlation with the Euro, it was a surprise to see the USD/CHF pair rise by almost twice as much, breaking through three bearish trend lines and three horizontal resistance levels which had looked well-established. What this pair will do next is anyone’s guess, but a sharp fall back to where it was 24 hours ago is the one thing that looks completely unlikely.
There is no real trend in this pair.
There is nothing due today concerning the CHF. Regarding the USD, there will be a release of Crude Oil Inventories at 3:30pm London time.