USDCHF looking toppy, downside likely
Last Thursday was a bearish "outside day" in USDCHF as the recent rally promptly ran out of steam. We went into Friday's jobs numbers looking to see if this would be confirmed. The answer was "yes and no", but price action since then has encouraged me to think we will soon get confirmation and head lower.
In a bigger picture, this is basically a range trade, and the chart suggests USDCHF may have just hit the top end of the range and found sellers again.
Management and risk description
Place stop above 0.9820-27 initially. Move to a scratch once the first target is hit.
Entry: Below 0.9800 (currently 0.9790)
Stop: Above 0.9830
Targets: 0.9740, 0.9660, 0.9580
Time horizon: 1-2 weeks
— Edited by John Acher
Non-independent investment research disclaimer applies. Read more