USDCHF Analysis: Today’s pivotal point at 0.9915
Last Thursday’s signals were not triggered, as none of the key levels were hit that day.
Today’s USD/CHF Signals
Risk 0.50%.
Trades may only be taken before 5pm London time today.
Short Trade Ideas
⦁ Short entry following a bearish price action reversal upon the next touch of 0.9908, 0.9915, 0.9931, or 0.9960.
⦁ 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 ride.
Long Trade Ideas
⦁ Long entry following a bullish price action reversal upon the next touch of 0.9873 or 0.9820.
⦁ 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 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 last Thursday that as long as the short-term price action was bearish and the price was breaking to new lower lows, I would take a short-term bearish bias here. This worked out neutrally, with the price falling a little but ending the London session more or less unchanged.
Although we are seeing more movement in other European currencies such as the British Pound and the Euro, the Swiss Franc remains relatively quiet and does not look like it will do much on this quiet Monday.
The chart is dominated technically by a pivotal point at 0.9915 which could provide at least a short scalping trade if we get a bullish retracement to it, but scalpers should be conservative here with profit targets for such trades.
Beyond that, I take no directional bias on this currency pair today.
There is nothing of high importance due today concerning either the CHF or the USD.