News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
EUR/USD
Bearish
Oil - US Crude
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Wall Street
Mixed
Gold
Bullish
GBP/USD
Mixed
USD/JPY
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
More View more
Real Time News
  • We've gotten here: as of today, it is one week until the #PresidentialElection2020. BUT the situation is incredibly fluid with Covid-19. With this in mind, do you think the election process itself - distribution, counting, etc - will be prolonged?
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 96.81%, while traders in EUR/USD are at opposite extremes with 70.08%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/rFFh3X4MVR
  • Are #stocks readying for a major turn? It’s still too early to say, and the S&P 500 is grasping on to a bullish continuation pattern that remains. Get your S&P500 technical analysis from @JStanleyFX here:https://t.co/Ipm3PAzX1B https://t.co/RW6rnseGTf
  • Microsoft Earnings: Revenue: $37.15B vs $35.75B exp EPS: $1.82 vs $1.55 est $MSFT shares creep just 0.3% higher in after-hours trading
  • Indices Update: As of 20:00, these are your best and worst performers based on the London trading schedule: Wall Street: 0.04% US 500: 0.03% FTSE 100: -0.26% Germany 30: -0.46% France 40: -0.64% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/BB0qWcl7fS
  • Commodities Update: As of 18:00, these are your best and worst performers based on the London trading schedule: Silver: 0.76% Gold: 0.38% Oil - US Crude: 0.16% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/V4XICPZVar
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 96.80%, while traders in EUR/USD are at opposite extremes with 70.05%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/LBx0DcXYmu
  • Check out @DailyFX Chief Strategist @JohnKicklighter discuss today’s currency market catalysts driving the dollar index, Euro, Sterling, Yen, and more on today’s Macro Setup with @GuyAdami and @RiskReversal:https://t.co/Dtdx6xBX7q
  • Indices Update: As of 18:00, these are your best and worst performers based on the London trading schedule: US 500: 0.06% FTSE 100: -0.10% Germany 30: -0.26% Wall Street: -0.32% France 40: -0.37% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/cZ9djYlhxo
  • $Nas 100, the test... the zone from 11,570-11,626 was resistance in the $Nasdaq in early Sept & and early Oct. Came back as support last week, held the lows into yday. Now showing potential resistance - but will sellers show up? $QQQ https://t.co/ViENP066Hz https://t.co/h2LYiXGGcW
EUR/CHF Forms A Symmetrical Triangle For Trend Trading

EUR/CHF Forms A Symmetrical Triangle For Trend Trading

2011-06-22 12:38:00
Walker England , Trading Instructor,
Share:

The EUR/CHF currency pair continues its descent from its 2007 high at 1.6827. Since this time the pair has fallen over 4700 pips and has carved out new all time lows at 1.2124 on June 16th of this year. Price is currently testing support and resistance in a symmetrical triangle pattern while threatening to breakout to create fresh lows.

The EUR/CHF is a classic safe haven trade. The Euro Zone is still having issues regarding its member nations in an ongoing debt crisis. As traders look for alternatives, many are turning to their geographic neighbor, Switzerland, to park their money. This demand for Swiss Francs has not only encouraged the currency rally against the Euro, but making the Swiss one of the strongest currencies over the last three years. Coming up later this week, on the Economic Calendar , are German IFO and Retail Sales numbers that have the potential to be the catalyst to push our long standing trend to fresh depths.

EUR_CHF_Forms_A_Symetrical_Triangle_For_Trend_Trading_body_Picture_1.png, EUR/CHF Forms A Symmetrical Triangle For Trend Trading

Price Action

Moving in to a H4 chart, we can see a Symmetrical Triangle forming on the EUR/CHF currency pair. Normally symmetrical triangles are known as continuation patterns. A breakout above below support at 1.2070 would signal a breakout to the downside and a resumption of our downtrend. Traders may place entry orders on either side of the triangle depending on their preference awaiting price to breakout.

EUR_CHF_Forms_A_Symetrical_Triangle_For_Trend_Trading_body_Picture_2.png, EUR/CHF Forms A Symmetrical Triangle For Trend Trading

Trading Opportunity

My preference is to enter the EUR/CHF using entry orders in the direction of the trend. I would look to sell the EUR/CHF pair below current support, near 1.2070. Limits should be placed at a new low of 1.171, looking for a minimum profit of 360 pips. Stops should be placed at 1.2250 or better for a clear 1:2 Risk/Reward setting.

Alternative scenarios include price breaking to the upside above support at 1.2150.

Walker England contributes to the Instructor Trading Tips articles. To receive more timely notifications on his reports, email instructor@dailyfx.com to be added to the distribution list.

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES