USD/CHF Forex Signal

01 June 2017 7:33:56 AM

By: DailyForex.com

Last Tuesday’s signals were not triggered as none of the key levels were reached during that session.

Today’s USD/CHF Signals

Risk 0.75% per trade.

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

Short Trade 1

  • Go short after bearish price action on the H1 time frame following the next touch of 0.9694.
  • 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.

Long Trades

  • Go long after bullish price action on the H1 time frame following the next touch of 0.9640 or 0.9593.
  • 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.

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

The price has now broken below the key support level at 0.9694 which had held for many days. The action since the break has seen a pull-back to the level, which now appears to have flipped to become resistance. The action over the past few hours still looks bullish but this is a pivotal time: if the price can get established above 0.9694 it will be a bullish sign, but the price may well finally reject this level and provide a good short trade entry. The best trade will probably come from careful monitoring of the action now at 0.9694, if the action starts to look bearish.

There is a long-term bearish trend in this pair.

USDCHF

There is nothing due today concerning the CHF. Regarding the USD, there will be a release of the ADP Non-Farm Employment Change forecast at 1:15pm London time, followed by Unemployment Claims at 1:30pm, ISM Manufacturing PMI at 3pm, and Crude Oil Inventories at 4pm.

Adam is a Forex trader who has worked within financial markets for over 12 years, including 6 years with Merrill Lynch. He is certified in Fund Management and Investment Management by the U.K. Chartered Institute for Securities & Investment. Learn more from Adam in his free lessons at FX Academy.

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