USDCHF Analysis: Ranging between 0.9873 and 0.9909
Yesterday’s signals were not triggered, as there was no bearish price action between 0.9855 or 0.9864.
Today’s USD/CHF Signals
Risk 0.75%.
Trades must be entered between 8am and 5pm London time today only.
Short Trade Ideas
Short entry following a bearish price action reversal upon the next touch of 0.9909 or 0.9929.
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.
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 Ideas
Long entry following a bullish price action reversal upon the next touch of 0.9873 or 0.9855.
Put the stop loss 1 pip below the local swing low.
Move 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 if the price could get above the confluence of resistance which started at about 0.9850 and reach to 0.9865, it would probably have enough of a pop to get higher still, perhaps to the 0.9900 area. However, I did think that 0.9850 would probably hold.
The price did get above the resistance but has not “popped” bullishly very much so far, although the price did reach to within 10 pips of 0.9900.
The price now is firmly within both its long and short-term ranges. As such, I have no directional bias, and think that any opportunities in the Forex market today are highly likely to arise in other currency pairs. The only valid approach I see here now is scalping off reversals at key levels for just a few pips of profit.
There is nothing of high importance due today regarding either the CHF or the USD.