USDCHF Rebound to Gather Pace on SNB- Scalps Target 0.9330

2013-06-17 19:29:00

Michael Boutros, Strategist

USDCHF Daily Chart

Forex_USDCHF_Rebound_to_Gather_Pace_on_SNB_Scalps_Target_0.9330_body_Picture_2.png, USDCHF Rebound to Gather Pace on SNB- Scalps Target 0.9330

Chart Created Using FXCM Marketscope 2.0

Technical Outlook

Nice reaction at multi-year trendline support dating back to October of 2011
Focus shifts higher so long as 9200 is respected as support (daily close basis)
Primary objective range 9297-9330
Secondary objectives 9387-9400 and 9480
Daily RSI trigger pending- break to offer further conviction on near-term long scalps
Key Events Ahead: SNB and FOMC later this week

USDCHF Scalp Chart

Forex_USDCHF_Rebound_to_Gather_Pace_on_SNB_Scalps_Target_0.9330_body_Picture_1.png, USDCHF Rebound to Gather Pace on SNB- Scalps Target 0.9330

Scalp Notes: Bottom Line: Our longer-term bias is in line with our short-term here with proximity to key multi-year trendline support offering favorable long entries. We need to consider the possibility of another test of the lows before we head higher however with the FOMC policy decision on Wednesday likely to offer further clarity on our directional bias. Price seems to be trading within the confines of a short-term ascending channel formation with a break below likely to offer better entries later in the week. Note the intra-day RSI trigger setup- if we break this, stand clear of the longs until price or a topside RSI trigger puts us back in. A break of the monthly lows invalidates these particular scalp targets.

*We will remain flexible with our bias with a break below 9200 eyeing subsequent support targets. It’s extremely important to give added consideration regarding the timing of intra-day scalps with the opening ranges on a session & hourly basis offering further clarity on intra-day biases.

Key Threshold Grid

Entry/Exit Targets	Timeframe	Level	Significance
Bearish Invalidation	30min	9297-9307	61.8% & 23.6% Retraces / 200% Ext
Break Target 1	30min	9335	Soft Resistance / Pivot
Break Target 2	30min	9360	Soft Resistance
Break Target 3	Daily / 30min	9387-9400	38.2% Retracement / 161.8% Fib Ext
Break Target 4	Daily / 30min	9435-9445	38.2% Fib Ext / Soft Resistance
Break Target 5	30min	9483	50% Retracement

Support Target 1	30min	9240	38.2% Retracement
Bullish Invalidation	Daily / 30min	9195-9200	78.6% Retrace / 23.6% Retrace
Break Target 1	30min	9170	Soft Support / Pivot
Break Target 2	30min	9130-9140	261.8% Ext / Monthly Low
Break Target 3	30min	9100	Big Figure / Soft Support
Break Target 4	30min	9070	February Close Low / 2013 Close Low
Break Target 5	30min	9021	February 2013 Swing Low

Average True Range	Daily	126	Profit Targets 28-30pips