h1

USD/CHF tests the resistance at 0.9268

May 8, 2012

http://newonforex.com/

Yesterday people traded USD/CHF in the range 0.9190-0.9250, however they showed bullish sentiment. Today it more likely will test the strong resistance level at 0.9268 and if  it doesn’t go through will find support at 0.9145 with the 50 period EMA. However if it breaks the resistance it more likely will continue in uptrend until the next resistance at 0.9335. Look for reversing/breaking bars/candles at the 30min -1 hour charts they should be the signals.

Trading idea: Look at the hourly chart(be careful on lower period the signal will be weaker) and if the price breaks the resistance at 0.9268 open long position 10 pips above the maximum of the breaking bar. Put your stop loss 10 pips below the minimum of the breaking(signal) bar and take profit 10 pips below the next resistance 0.9325. When you make 20-30 pips profit close part of the position in order to compensate eventual trend change. Beware of a bull trap! Good luck!

If you like our analysis you can follow us via email!

If you don’t understand anything or you just have a question just write a comment and we will answer you as soon as possible!

Good luck!

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: