Trade Idea : USD/CHF – Buy at 0.9600

USD/CHF – 0.9679

Most recent candlesticks pattern : N/A

Trend                                    : Near term up

Tenkan-Sen level                  : 0.9672

Kijun-Sen level                    : 0.9675

Ichimoku cloud top                 : 0.9684

Ichimoku cloud bottom              : 0.9609

Original strategy :

Buy at 0.9600, Target: 0.9700, Stop: 0.9565

Position : –

Target :  –

Stop : –

New strategy  :

Buy at 0.9600, Target: 0.9700, Stop: 0.9565

Position : –

Target :  –

Stop : –

Although the greenback has recovered after finding support at 0.9637 yesterday, reckon resistance at 0.9727 would limit upside and bring further consolidation below this level, hence risk of another retreat to 0.9635 (38.2% Fibonacci retracement of 0.9490-0.9727) remains, however, previous resistance at 0.9596 should turn into support and contain downside, bring another rise later, above said resistance at 0.9727 would extend recent rise to 0.9750-60, then 0.9780 but reckon 0.9800 would hold from here.

In view of this, would not chase this rise here and would be prudent to buy dollar on subsequent pullback as previous resistance at 0.9596 should turn into support and contain dollar’s downside. Below 0.9580 (61.8% Fibonacci retracement of 0.9490-0.9727) would defer and suggest a temporary top is formed instead, bring correction to 0.9540-50 but price should stay well above support at 0.9490, bring another rise later.