Trading Plan For The USD/CHF: October 6, 2017 - Forex News by Strategia Forex

Trading Plan For The USD/CHF: October 6, 2017

Posted Friday, October 6, 2017 by
Shain Vernier • 1 min read

This week has been a good one here at FX Leaders, successfully trading a variety of asset classes. Yesterday I outlined the scenario facing the USD/CHF for the intermediate future. The release of the U.S. unemployment metrics have shown the technical levels to be valid.

Today’s U.S. session may produce a few trades for this product. Let’s dig into the levels and get to it!

 

Technicals

Trading the USD/CHF requires patience and discipline. It is not a wide-open product such as gold or oil. And that is ok. In my book, pips are pips.

USD/CHFUSD/CHF, Daily Chart

 

The levels look to be valid, with .9800 acting as a potential catalyst for upcoming sessions. The post-U.S. unemployment numbers rally to .9837 indicates strength in the USD.

Here are the trades to make during today’s session:

  • Short the yearly 50% Fibonacci retracement at .9878-.9874. Stop loss above .9900.

  • Long from the yearly 38% Fibonacci retracement at .9770-.9776. Stop under Thursday’s low of .9742.

  • Long scalps from .9801 with tight take profits and stop losses are also possible.

Bottom Line: Aside from the scalps, both of these scenarios are position trades. A 1:1 R/R ratio gives us reasonable profit targets and stop losses in the event that an open position is to spill over into the weekend.

As always, trade smart and keep the leverage in check!

 
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About the author

Shain Vernier // US Analyst
Shain Vernier has spent over 7 years in the market as a professional futures, options and forex trader. He holds a B.Sc. in Business Finance from the University of Montana. Shain's career includes stretches with several proprietary trading firms in addition to actively managing his own accounts. Before joining FX Leaders, he worked as a market analyst and financial writer.
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