USDCHF Analysis: More bullish still
Yesterday’s signals were not triggered, as none of the key levels were reached.
Today’s USD/CHF Signals
Risk 0.50%.
Trades must be entered between 8am and 5pm London time today.
Short Trade Ideas
⦁ Go short following a bearish price action reversal upon the next touch of 1.0013, 1.0033, or 1.0065.
⦁ Place 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.
⦁ Take off 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
⦁ Go long following a bullish price action reversal upon the next touch of 0.9960, 0.9934, or 0.9921.
⦁ Place 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.
⦁ Take off 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 the price had reached a very interesting point close to the parity level at 1.0000 which has held as resistance over several months. This means that there could be a great opportunity for a medium or long-term short trade at any bearish reversal above 1.0000, especially at 1.0013 or 1.0033.
This remains true, but a look at the chart below shows the price action is becoming more and more bullish. It looks as if we are going to get a strong upwards push, and not a weak one.
Overall it means that this pair is worth keeping an eye on as it may well get to the pivotal zone above 1.0000 which could mean something decisive over the medium to long term.
There is nothing of high importance due today concerning either the CHF or the USD.