Last Thursday’s signals were not triggered, as none of the key levels were reached during the London session that day.
Today’s USD/CHF Signals
Risk 0.75%.
Trades must be taken between 8am and 5pm London time today only.
Short Trades
Short entry following a bearish price action reversal upon the next touch of 0.9978 or 1.0010.
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.
Remove 50% of the position as profit when the price reaches 20 pips in profit and leave the remainder of the position to run.
Long Trades
Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 0.9922 or 0.9905.
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.
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 last Thursday that it would not be a surprise is the upwards movement persists, but the resistance level at 0.9953 was likely to be strong, and the level above that at 0.9978 even stronger still, so I still had no directional bias and saw any reversals at key levels as interesting in this pair. This was a good analysis as the price rose over that day, breaking a little way past 0.9953 but turning bearish before it reached 0.9978. Technically, the price remains within a medium-term bearish channel, and it is just testing and possibly failing at the first upper trend line now as at the time of writing. The resistance level at 0.9978 looks especially attractive for a potential short trade. I have no directional bias today as the U.S. Dollar is strong right now, which goes against the medium-term bearish trend here. A long trade from a bounce at 0.9922 could be just as good as a short trade from 0.9978.
There is nothing important due today concerning either the CHF or the USD.