USD/CHF – 0.9988
Original strategy :
Buy at 0.9920, Target: 1.0030, Stop: 0.9885
Position : –
Target : –
Stop : –
New strategy :
Buy at 0.9920, Target: 1.0030, Stop: 0.9885
Position : –
Target : –
Stop : –
Dollar’s retreat after rising to 1.0038 on Friday has retained our view that minor consolidation below this level would be seen and pullback to the upper Kumo (now at 0.9956) is likely, below would bring correction to previous resistance at 0.9940, however, reckon 0.9920-25 (38.2% Fibonacci retracement of 0.9737-1.0038) would limit downside and bring another rise, above said resistance at 1.0038 would extend recent rise from 0.9421 low to 1.0050-55, having said that, overbought condition should limit upside to 1.0075-80 and price should falter below 1.0100 resistance and bring retreat later.
In view of this, we are looking to buy dollar again on pullback as 0.9920-25 should limit downside, bring another rise later. Below 0.9885-90 (50% Fibonacci retracement of 0.9737-1.0038) would defer and suggest top is possibly formed, risk test of support at 0.9869.
