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.

Free Trading Guides
EUR/USD
Bullish
Oil - US Crude
Mixed
Wall Street
Bullish
Gold
Bearish
GBP/USD
Bullish
USD/JPY
Bullish
More View more
Real Time News
  • Forex Update: As of 07:00, these are your best and worst performers based on the London trading schedule: 🇯🇵JPY: 0.01% 🇨🇦CAD: -0.01% 🇳🇿NZD: -0.04% 🇨🇭CHF: -0.17% 🇪🇺EUR: -0.19% 🇬🇧GBP: -0.23% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/VzvKs7Fdm4
  • Heads Up:💶 ECB President Lagarde Speech due at 07:30 GMT (15min) https://www.dailyfx.com/economic-calendar#2020-05-27
  • Indices Update: As of 07:00, these are your best and worst performers based on the London trading schedule: US 500: 0.71% Wall Street: 0.66% FTSE 100: 0.54% Germany 30: 0.14% France 40: 0.05% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/QW4TmgzMvC
  • 🇫🇷 Consumer Confidence Actual: 93 Expected: 92 Previous: 95 https://www.dailyfx.com/economic-calendar#2020-05-27
  • 🇫🇷 Business Confidence Actual: 70 Expected: 85 Previous: 68 https://www.dailyfx.com/economic-calendar#2020-05-27
  • USD/MXN remains caught in a choppy range, which generally has traders looking for a directional move frustrated. Get your $USDMXN technical analysis form @PaulRobinsonFX here: https://t.co/gCXqAEGVix https://t.co/fVb44SoBzx
  • Heads Up:🇫🇷 Consumer Confidence due at 06:45 GMT (15min) Actual: 93 Expected: 92 Previous: 95 https://www.dailyfx.com/economic-calendar#2020-05-27
  • Heads Up:🇫🇷 Business Confidence due at 06:45 GMT (15min) Actual: 70 Expected: 85 Previous: 68 https://www.dailyfx.com/economic-calendar#2020-05-27
  • 🇳🇴 Unemployment Rate Actual: 3.6% Expected: 4% Previous: 3.5% https://www.dailyfx.com/economic-calendar#2020-05-27
  • Heads Up:🇳🇴 Unemployment Rate due at 06:00 GMT (15min) Expected: 4% Previous: 3.5% https://www.dailyfx.com/economic-calendar#2020-05-27
USD/CHF Rebound Stalls at 2016 Open- Bearish Invalidation 1.0072

USD/CHF Rebound Stalls at 2016 Open- Bearish Invalidation 1.0072

2016-03-01 20:31:00
Michael Boutros, Strategist
Share:

Talking Points

  • USDCHF testing critical resistance confluence at the 2016 open
  • Weekly opening range set above 100DMA
  • Updated targets & invalidation levels

USDCHF Daily

USD/CHF Rebound Stalls at 2016 Open- Bearish Invalidation 1.0072

Chart Created Using FXCM Marketscope 2.0

Technical Outlook: USDCHF tested a key near-term resistance confluence yesterday at 1.0028/31. This region is defined by the yearly open, the 61.8% retracement of the 2016 range, former trendline support extending off the August low and the operative upper media-line parallel extending off the January high. The immediate long-bias is at risk while below this threshold with a break below the 100-day moving average at 9952 shifting the focus to the downside targeting 9848 & the 200DMA at 9758. A breach higher targets resistance & our bearish invalidation level at 1.0062/72 where the 61.8% extension of the advance off the yearly low converges on the 2/4 swing high.

Avoid the pitfalls of near-term trading strategies by steering clear of classic mistakes. Review these principles in the "Traits of Successful Traders” series.

USDCHF 30min

USD/CHF Rebound Stalls at 2016 Open- Bearish Invalidation 1.0072

Notes: The weekly opening range is taking shape just above 100-day moving average with the range highs extending into the 61.8% retracement at 1.0029. We’re generally looking for a turn from nearby ressitance with a break of the weekly lows targeting subsquent support targets at 9893 & 9848/51.

A breach above 1.1062/72 invalidates the bearish outlook with such a scenario targeting long scalps into the 76.4% retracement at 1.0115, the 100% extension at 1.0193 and the 2016 high-day close at 1.0225. A quarter of the daily average true range yields profit targets of 26-29 pips per scalp. Caution is warranted heading into the close of the week with U.S. Non-Farm Payrolls on Friday likely to fuel added volatility in the USD crosses.

Continue tracking this setup and more throughout the week- Subscribe to SB Trade Desk and take advantage of the DailyFX New Subscriber Discount!

Check out SSI to see how retail crowds are positioned as well as open interest heading into February trade.

Relevant Data Releases

USD/CHF Rebound Stalls at 2016 Open- Bearish Invalidation 1.0072

Other Setups in Play:

---Written by Michael Boutros, Currency Strategist with DailyFX

Follow Michaelon Twitter @MBForex contact him at mboutros@dailyfx.com or ClickHere to be added to his email distribution list

Join Michael for Live Scalping Webinars on Mondays on DailyFX and Tuesday, Wednesday & Thursday’s on SB Trade Deskat 12:30 GMT (8:30ET)

Looking for trade ideas? Review DailyFX’s Top Trading Opportunity of 2016.

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

DISCLOSURES

News & Analysis at your fingertips.