Having seen the EUR/USD pair aggressively tumble lower yesterday, it should not really come as much of surprise to see that the USD/CHF traded higher. For those who follow our reports on a regular basis you may recall that we had a pending sell order placed at 0.9926 with a stop set above the current daily supply base (0.9956-0.9921) at 0.9960. Going into yesterday’s US session, our order, as you can see, was filled and price immediately traded in our favor. As the unit neared the 0.99 handle, our team moved the stop to breakeven, which unfortunately, was later taken out.
On the H4 chart, focus now shifts to the Quasimodo resistance line above at 0.9946. This barrier sits within the lower edge of weekly supply at 1.0092-0.9928, as well as around the top edge of the above noted daily supply. Personally, we believe this H4 Quasimodo has a very good chance of bouncing prices lower today. Furthermore, the stop-distance is relatively small given that we’d look to position it around the same location as our previous short trade: 0.9960 – just above the daily supply zone. With this in mind, a pending sell order has been fixed at 0.9945, targeting the H4 broken Quasimodo line at 0.9927 as a first take-profit target.
On the H4 chart, focus now shifts to the Quasimodo resistance line above at 0.9946. This barrier sits within the lower edge of weekly supply at 1.0092-0.9928, as well as around the top edge of the above noted daily supply. Personally, we believe this H4 Quasimodo has a very good chance of bouncing prices lower today. Furthermore, the stop-distance is relatively small given that we’d look to position it around the same location as our previous short trade: 0.9960 – just above the daily supply zone. With this in mind, a pending sell order has been fixed at 0.9945, targeting the H4 broken Quasimodo line at 0.9927 as a first take-profit target.
IC Markets is an online forex broker specialized in providing transparent trading solutions to both retail and institutional investors alike. We provide superior execution technology, lower spreads and unrivaled liquidity.