Yesterday’s signals were not triggered, as none of the key levels were ever 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 0.9810, 0.9856, or 0.9865.
Place 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 Trade
Go long following a bearish price action reversal upon the next touch of 0.9679.
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 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 yesterday that I took a bearish bias below 0.9810 due to the new lower resistance level which had formed there and the price having a long way to fall before it would meet any support levels. This was an OK call as the price has fallen a little further over the past day. There is no change to the technical picture, so it makes sense to remain bearish, although recent hours have seen the bulls begin to prevail. Therefore, I would want to see the price break below yesterday’s low price for an hour or so today before taking a bearish bias. The major U.S. data release later might push the price up here if the number is strong, so watch out for that.
There is nothing important due today concerning the CHF. Regarding the USD, there will be a release of Preliminary GDP data at 1:30pm London time followed by Crude Oil Inventories at 3:30pm.