Trade Idea: USD/CHF - Exit long entered at 1.0760

USD/CHF - 1.0775

Most recent candlesticks pattern : N/A
Trend : Sideways

Tenkan-Sen level : 1.0809
Kijun-Sen level : 1.0812
Ichimoku cloud top : 1.0754
Ichimoku cloud bottom : 1.0677

Original strategy :

Bought at 1.0760, Target: 1.0920, Stop: 1.0695

New strategy :

Exit long entered at 1.0760

Dollar's intra-day sharp retreat just tested the Ichimoku cloud top and although price has recovered from 1.0748, near term downside risk is seen for stronger retracement to 1.0714 (50% Fibonacci retracement of 1.0503 to 1.0925), however, only break of indicated support at 1.0700 would indicate top has been formed at 1.0925 and bring stronger retracement to 1.0664-77 (61.8% Fibonacci retracement and current level of the lower Kumo) but reckon support at 1.0603 would hold from here.

In view of this, we are exiting our long position entered at 1.0760 and stand aside in the mean time. On the upside, a firm break above the Kijun-Sen (now at 1.0812) is needed to suggest low has possibly been formed but break of intra-day resistance at 1.0847 is needed to confirm and retest of 1.0925 would be seen next week.