USD/CHF Signal Update
Yesterday’s signals were not triggered as there was no bullish price action when the anticipated support level of 1.0049 was reached.
Today’s USD/CHF Signals
Risk 0.75% per trade.
Trades may only be entered between 8am and 5pm London time today.
Long Trade 1
Go long after bullish price action on the H1 time frame following the next touch of 0.9993.
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 Trade 1
Go short after bearish price action on the H1 time frame following the next touch of 1.0050.
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.
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
Yesterday the price easily broke down past the anticipated support at 1.0049, but made a bottom just a few pips above the next level of anticipated support at 0.9993. At the time of writing, the price has almost returned to 1.0050 which could logically be expected to have flipped to become resistance. I wrote that the area around parity was going to be a very key benchmark, and if the price managed to get above 1.0050 and remain there, that is likely to be a significantly bullish development and quite possibly the start of a resumption of the long-term bullish trend.
The price is in a long-term pivotal area now, and presents an opportunity.
There is nothing due today regarding the CHF. Concerning the USD, there will be a release of CPI data at 1:30pm London time followed by a minor speech from the Chair of the Federal Reserve at 8pm.