Last Thursday’s signals were not triggered, as none of the key levels were reached.
Today’s USD/CHF Signals
Risk 0.75%.
Trades may only be taken before 5pm London time today.
Short Trades
Go short following a bearish price action reversal upon the next touch of 0.9982 or 1.0010.
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.
Take off 50% of the position as profit when the price reaches 20 pips in profit and leave the remainder of the position to ride.
Long Trades
Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 0.9904 or 0.9885.
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.
Take off 50% of the position as profit when the price reaches 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
I wrote last Thursday that there is no change to an ongoing technical picture showing the price remaining constrained, with key support and resistance levels all holding. A look at the chart below shows there is a strong medium-term consolidation within a narrowing triangle. There is new higher support, which is a slightly bullish sign, and I still think a bullish breakout from this area is slightly more likely than a bearish one. In the meantime, playing firm reversals off any key level in any direction is likely to be the best approach.
I would take a bullish bias if the price can get established above 0.9882.
There is nothing important due today concerning either the CHF or the USD.