USD/CHF – Time to Catch The Retracement - Forex News by FX Leaders

USD/CHF – Time to Catch The Retracement

Posted Thursday, August 17, 2017 by
Arslan Butt • 1 min read

Considering the dovish FOMC and weakness in the U.S. dollar, the USD/CHF has plunged dramatically and is now stuck in the oversold zones. Now, we have a chance to catch few easy pips. Are you ready?

Yesterday, the Federal Reserve's FOMC meeting minutes were unsurprisingly dovish, causing some serious weakness in the Buck. Due to the weakness, most of the dollar pairs are either oversold or overbought, including USD/CHF.

USDCHF - Hourly Chart- Fibonacci Retracement USDCHF – Hourly Chart- Fibonacci Retracement

Looking at the leading indicator Stochastic RSI, the pair is massively oversold at 20. We can see a spinning top & couple of doji candles near $0.9640, signaling the weaker position of sellers.

Now, the pair is likely to go for 23.6% Fibonacci retracement at $0.9665 and 38.2% retracement at $0.9685. 

USD/CHF Trade Idea

As mentioned above, the bulls should enter the market near $0.9640 to target $0.9685 with 20 pips stop below the entry price. Good luck!

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About the author

Arslan Butt // Index & Commodity Analyst
Arslan Butt is our Lead Commodities and Indices Analyst. Arslan is a professional market analyst and day trader. He holds an MBA in Behavioral Finance and is working towards his Ph.D. Before joining FX Leaders Arslan served as a senior analyst in a major brokerage firm. Arslan is also an experienced instructor and public speaker.
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