Forex Marketz Daily Forex News – Fully Markets Update
USD/CHF (0.9985)
- Resistance Levels: 1.0130, 1.0312, 1.0605
- Support Levels: 0.9988, 0.9840, 0.9660
- Trade Strategy: Stand Aside
The USD/CHF has seen nice days of gains. Looking at the below daily MT 4 chart, we see the USD has edged above the 0.99 pivot placing parity within reach.
We need a daily close above parity then 1.0130 in order to challenge the technical resistance level at 1.0312. Should the Dollar reverse course and move lower, pushing the USD/CHF lower, then we have support at 0.9988. A daily close below this level will challenge the technical support at 0.9840.
For me, it is not all about the technical analysis. Entering a long seems like a good idea but one should consider the following: we have seen nine days of gains in a row. What does this mean? Price action has now seen the longest winning streak in nearly 12 years. This means positioning (price level) is a stretched right now and we could see and impending move lower soon. Especially for profit takers. Thanks to that, I will stand aside as entering a long USD trade is not conducive to my strategy, for now.
