USDCHF profit target reached again, prepare to sell
Sell below 0.9679. Stop loss at 0.9701. Take profit at 0.9630.
Reason for the trading strategy (technically):
Price has continued its rise perfectly as expected and has reached our profit target again for the 3rd time in a row. We prepare to sell below 0.9679 resistance (Fibonacci extension, Fibonacci retracement, horizontal overlap resistance) for a drop towards 0.9630 support (Fibonacci retracement, horizontal swing low support).
Stochastic (34,5,3) is seeing major resistance below 94% where we expect a drop from.
Correlation analysis: EURUSD and USDCHF are strongly negatively correlated. Hence it is good that we expect a drop on USDCHF and a bounce on EURUSD as this shows that they are moving in tandem.
Reason for the trading strategy (technically):
Price has continued its rise perfectly as expected and has reached our profit target again for the 3rd time in a row. We prepare to sell below 0.9679 resistance (Fibonacci extension, Fibonacci retracement, horizontal overlap resistance) for a drop towards 0.9630 support (Fibonacci retracement, horizontal swing low support).
Stochastic (34,5,3) is seeing major resistance below 94% where we expect a drop from.
Correlation analysis: EURUSD and USDCHF are strongly negatively correlated. Hence it is good that we expect a drop on USDCHF and a bounce on EURUSD as this shows that they are moving in tandem.