Long Swissy at Market
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This setup is primarily designed to try to take advantage of a really weak U.S. Dollar. The U.S. Dollar gapped-lower to start the week after French elections, and has continued to find support around the 98.70 level on DXY, which is a 5 ½ month low. And this is for the currency of one of the lone Central Banks looking at hiking rates.
USD/CHF is currently finding support around the .9900-handle, and a bit lower we have a couple of additional swings that can assist with setting risk levels on the pair. Stops will be set to .9788 to get risk levels below the March swing low while taking on approximately 120 pips of risk.
At parity (1.0000), stops will be adjusted to break-even, and the first exit will be at 1.0040; followed by scaled-targets at 1.0095, 1.0155.
Chart prepared by James Stanley
--- Written by James Stanley, Strategist for DailyFX.com
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