USD/CHF – 0.9759
Original strategy :
Sold at 0.9755, Target: 0.9655, Stop: 0.9775
Position : – Short at 0.9755
Target : – 0.9655
Stop : – 0.9775
New strategy :
Hold short entered at 0.9755, Target: 0.9655, Stop: 0.9775
Position : – Short at 0.9755
Target : – 0.9655
Stop : – 0.9775
Although the greenback fell briefly to 0.9705 late last week, lack of follow through selling on break of previous support at 0.9710-12 and the subsequent strong rebound suggest consolidation above said support would be seen, however, as long as resistance at 0.9772 (Friday’s high) holds, bearishness remains for recent decline to resume after consolidation, below said support at 0.9705 would signal the decline from 0.9837 top has resumed and extend weakness to 0.9669-70 (61.8% Fibonacci retracement of 0.9565-0.9837 and previous support) but previous support at 0.9642 should remain intact.
In view of this, we are holding on to our short position entered at 0.9755. Above said resistance at 0.9772 would defer but only break of resistance at 0.9808 would signal low is formed and indicate the pullback from 0.9837 has ended, bring retest of this level later.
