Yesterday’s signals were not triggered, as none of the key levels were ever reached.
Today’s USD/CHF Signals
Risk 0.75%.
Trades must be entered between 8am and 5pm London time today only.
Short Trades
- Short entry following a bearish price action reversal upon the next touch of 0.9810, 0.9856, 0.9865, or 0.9904.
- Put 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.
- Remove 50% of the position as profit when the price reaches 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
I wrote yesterday that the best opportunity which looked likely to set up would be a bearish reversal somewhere between 0.9850 and 0.9865. The price never quite reached 0.9850, but the daily movement was bearish. We now have another bearish sign to make the picture even more bearish: new, lower resistance at 0.9810. The price has a long way to fall before it will meet any support levels. Therefore, I take a bearish bias today below 0.9810. There is marked bearishness here, and unlike the EUR/USD currency pair, the CHF has room to advance without running into any obstacles.
There is nothing important due today concerning either the CHF or the USD.