USD/CHF Forex Signal | DailyForex

USDCHF Analysis: Bullish consolidation above 0.9841

Yesterday’s signals produced a long trade from the bullish rejection of 0.9841. The trade is now slightly above break-even but looks a little doubtful so it might be wise to exit now.

Today’s USD/CHF Signals

Risk 0.75%.

Trades may only be taken before 5pm London time today.

Short Trade Ideas

  • Go short following a bearish price action reversal upon the next touch of 0.9885 or 0.9916 or 0.9950.

  • 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 ride.

Long Trade Idea

  • Go long following a bullish price action reversal upon the next touch of 0.9841 or 0.9815.

  • 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 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.

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USD/CHF Analysis

I wrote yesterday that the bigger picture was still a ranging price with weakly bullish short-term price action. I saw the best approach as likely to be scalping for conservative profit targets from bounces as either of the nearby key levels. This was a perfect call as the nearby support held but the price moved only by a relatively small amount from there.

There is no trend, but bulls have the short to medium-term edge here as market sentiment is in “risk-off” mode which weakens the Franc. As long as the support at 0.9841 holds up, it makes sense to take a weakly bullish bias, but the real action in the Forex market right now is in the commodity currencies and the British Pound.USD/CHF Forex Signal | DailyForexThere is nothing of high importance due today regarding the CHF or the USD. It is a public holiday in the U.S.A.

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