this is a setup based on a continuation of the ABC Corrective Wave pattern. As you can see price has made a 61.8% retracement since failing to break the 1.0 psych level. this retracement level is in confluence with the bearish channels resistance. In addition the rally is also a pullback to the RSI S50 which i look for when looking for low risk high reward setups for pullback/rally entries. Looking to take profit near the most recent swing low and ideally to key market support in the .97 range.
One thing to keep in mind is that overall CHF has been underperforming and weakening in price so this trade may be invalidated due to general relative markset strength.
One thing to keep in mind is that overall CHF has been underperforming and weakening in price so this trade may be invalidated due to general relative markset strength.