Last Thursday’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 between 8am and 5pm London time today.
Short Trade
Go short following a bearish price action reversal upon the next touch of 0.9961.
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.
Long Trade
Go long following a bullish price action reversal upon the next touch of 0.9744.
Put 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.
Remove 50% of the position as profit when the price reaches 25 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 the only potential trading opportunity which stood out would be a long trade from the 0.9750 area, but we were quite a long way from there. The chart below shows that this pair is completely range-bound and does not look as if it is going anywhere. The opportunities may come at rejections of the extremes of the range, or if there is a breakout beyond the range. However, none of this looks likely to happen today. Meanwhile, it is probably best to avoid trading this pair, which is even more range-bound that the EUR/USD currency pair.
There is nothing of high importance due today concerning the CHF. Regarding the USD, there will be a release of ISM Non-Manufacturing PMI data at 3pm London time.