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
Subscribe
Please try again
EUR/USD
Bearish
Oil - US Crude
Bullish
Wall Street
Bearish
Gold
Mixed
GBP/USD
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
USD/JPY
Bullish
More View more
Real Time News
  • Euro Price Forecast: EUR/USD, EUR/JPY Eyeing ECB Weekly Bond Purchases - https://www.dailyfx.com/forex/fundamental/daily_briefing/session_briefing/euro_open/2021/03/01/Euro-Price-Forecast-EURUSD-EURJPY-Eyeing-ECB-Weekly-Bond-Purchases.html?CHID=9&QPID=917708&utm_source=Twitter&utm_medium=Moss&utm_campaign=twr $EUR $EURUSD $EURJPY https://t.co/2phQjBQPO1
  • 🇨🇭 Retail Sales YoY (JAN) Actual: -0.5% Previous: 5.4% https://www.dailyfx.com/economic-calendar#2021-03-01
  • Heads Up:🇨🇭 Retail Sales YoY (JAN) due at 07:30 GMT (15min) Previous: 4.7% https://www.dailyfx.com/economic-calendar#2021-03-01
  • Slippage can be a common occurrence in forex trading but is often misunderstood. Understanding how forex slippage occurs can enable a trader to minimize negative slippage, while potentially maximizing positive slippage. Learn about FX slippage here: https://t.co/Blrl0uF2Ct https://t.co/y5QA5ZNvgs
  • 🇷🇺 Markit Manufacturing PMI (FEB) Actual: 51.5 Previous: 50.9 https://www.dailyfx.com/economic-calendar#2021-03-01
  • Heads Up:🇷🇺 Markit Manufacturing PMI (FEB) due at 06:00 GMT (15min) Previous: 50.9 https://www.dailyfx.com/economic-calendar#2021-03-01
  • Greed is a natural human emotion that affects individuals to varying degrees. Unfortunately, when viewed in the context of trading, greed has proven to be a hindrance more often than it has assisted traders. Learn how to control greed in trading here: https://t.co/kODPAfJE79 https://t.co/XuRCWHWsEV
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Silver are long at 93.74%, while traders in GBP/JPY are at opposite extremes with 64.08%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/0MjvT6Ao40
  • Forex Update: As of 05:00, these are your best and worst performers based on the London trading schedule: 🇳🇿NZD: 0.55% 🇦🇺AUD: 0.55% 🇬🇧GBP: 0.39% 🇪🇺EUR: 0.09% 🇯🇵JPY: 0.06% 🇨🇭CHF: -0.01% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/reMp23qieo
  • Indices Update: As of 05:00, these are your best and worst performers based on the London trading schedule: FTSE 100: 1.05% US 500: 0.83% Germany 30: 0.78% France 40: 0.78% Wall Street: 0.72% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/xD81ljxO7y
USD/CHF Technical Analysis: Fib Sets Up The USD Fade

USD/CHF Technical Analysis: Fib Sets Up The USD Fade

James Stanley, Senior Strategist

To receive James Stanley’s Analysis directly via email, please sign up here.

Talking Points:

  • USD/CHF Technical Strategy: Previous long setup stopped out, new short setup identified.
  • Swissy fell through some significant support levels after last week’s bout of USD weakness.
  • USD is seeing major volatility around continued vacillation around rate hike expectations, and this could continue for a while. Make sure your risk management has been addressed.

In our last article, we looked at a long re-entry into USD/CHF after a previously strong top-side run. The premise for that setup was the fact that Janet Yellen was going into Congress to give the twice-annual monetary report, and with USD being at support, there could’ve been an attractive risk-reward to the upside. That didn’t come to pass as USD sold off aggressively even ahead of Ms. Yellen’s testimony, and as she began her two-day trip on Capitol Hill, the dollar only drove lower and lower.

But on Wednesday, Thursday and Friday, USD and USD/CHF worked on a three-candle bottoming formation with fresh support coming in just above .9650. The first three days of this week have, so far, furthered the move with price action now moving closer to the .9948 Fibonacci level. This is the 61.8% retracement of the ‘big picture’ major move in USD/CHF, taking the 2008 high to the 2011 low. This level has also provided numerous instances of support/resistance in the recent past, so it becomes a very interesting level when looking for swings.

The near-term setup is to look for resistance at this .9948 Fibonacci level. Should price action show resistance here, as indicated by a top-side wick on the hourly or 4-hour chart, traders can look to get short with a stop wedged above parity. This opens the door for targets at .9842 (prior price action swing low), .9749 (76.4% retracement of the prior major move, taking the August 2015 high/low). After .9749, the level of .9660 becomes interesting, as this is just above the 76.4% retracement of the previous major move, as well as being near-term support in USD/CHF.

USD/CHF Technical Analysis: Fib Sets Up The USD Fade

Created with Marketscope/Trading Station II; prepared by James Stanley

--- Written by James Stanley, Analyst for DailyFX.com

To receive James Stanley’s analysis directly via email, please SIGN UP HERE

Contact and follow James on Twitter: @JStanleyFX

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

DISCLOSURES