USD/CHF Analysis 09|18|2006 NEW YORK

NEW YORK

Pair Analyzed: USD/CHF
Time Frame Used: 4H
Prevailing Sentiment: Bull (buy)
Platform: MetaTrader 4
Date of Analysis: 09/19/2006

Trade Execution Ideas:
Execute as a Real position with an entry @ 1.2585+ and absolute exit @ 1.2699. Targets for this trade can be configured @ T1 1.2600, T2 1.2620, T3 1.2665. Stop loss can be configured @ 1.2522. Please keep in mind that stop loss configurations should be executed as money management rules suggest.

Prevailing Signals:
Senkou Span A/B Cross Bull,Price/Kijun-Sen Cross Bull,Chikou Span/Price Cross Bull

Supporting Technicals:

Chikou Span Support Considerations:
Support Level 1: 1.2550
Support Level 2: 1.2541

Chikou Span Resistance Considerations:
Resistance Level 1: 1.2568
Resistance Level 2: 1.2579

Kumo and Price Relationship:
Price is currently Over prevailing Kumo

Kumo Strength:
Strong

Noteable Support and Resistance Considerations:
1H kumo is providing some support for this pair currently. 1.2604 is the critical barrier to more extensive bullish moves at this point. On the downside, 1.2519 is a key point of support and any close below that level will threaten a move down to the 1.2465 level and a possible trend change.

News Provided By:
n/a

n/a

Analyst Notes:
Downside surprises in Eurozone ZEW data last night ended up dragging down the EUR/USD and consequently boosting the Swissie to current levels. While this abrupt move up will most likely warrant a bit of consolidation, signals are all pointing to another bullish move in this pair. 1.2585 and 1.2604 are both key resistance levels that need to be broached in order to realize this scenario, however. For those more aggressive traders, you can enter once we see a 4H close above the 1.2585 level. More conservative traders will want to wait until price has closed above the 1.2604 level.

Chart Study

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