Yesterday’s signals were not triggered, as there was no bearish price action at either 0.9939 or 0.9965.
Today’s USD/CHF Signals
Trades may only be entered before 5pm London time today, over the next 24-hour period.
— Go short following a bearish price action reversal upon the next touch of 0.9985.
— 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.
— Take off 50% of the position as profit when the price reaches 20 pips in profit and leave the remainder of the position to ride.
— Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 0.9871.
— 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.
— Remove 50% of the position as profit when the price reaches 25 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.
I had a bearish bias yesterday, but the price quickly turned around and rose strongly, invalidating resistance, before falling back again. I did note that the short-term outlook did not seem to be bearish. Although the long-term picture still suggests a downwards move is most likely, the price action looks extremely indecisive, and it is very difficult to predict the movement here. The best that can be said is that as the price approached the bearish trend line shown in the price chart below and the confluent parity level of 1.0000, it is more likely to make a bearish turn.
There is nothing due today concerning either the CHF or the USD.
This article provided by NewsEdge.