USD/CHF Forex Signal - 22 September 2016

USD/CHF Signal Update

Yesterday’s signals were not triggered as there was no bullish price action at either of the key support levels that were reached during the session.

Today’s USD/CHF Signals

Risk 0.75% per trade.

Trades may only be taken between 8am and 5pm London time today.

 

Long Trades

  • Long entry after bullish price action on the H1 time frame following the next touch of 0.9707 or 0.9640.

  • 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 trade is 20 pips in profit and leave the remainder of the position to ride.

 

Short Trades

  • Short entry after bearish price action on the H1 time frame following the next touch of 0.9755 or 0.9816.

  • 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 trade is 20 pips in profit and leave the remainder of the position to ride.

USD/CHF Analysis

The price was unable to break up above the key resistance level of 0.9816, and the dovish release from the FOMC last night had the effect of weakening the USD and producing a large fall in this pair. The price has cut right through a couple of support levels and at the time of writing is even threatening the supportive round number at 0.9700, but does look as if it will probably stabilise there for a while.

This pair overall really has no long-term trend, especially now the USD has weakened further, so it doubtful there is going to be much of an opportunity here beyond small reversals at key support and resistance levels.

USDCHF

There is nothing due today concerning the CHF. Regarding the USD, there will be a release of Unemployment Claims data at 1:30pm London time.

Adam Lemon

Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.