On the signals page, you can see that we have four closed EUR/CHF signals. One of the losing signals, however, was a system fault. We opened the last two winning signals around these levels down here, and the price is now is back here once again- as a result, we have decided to open another buy signal.
We are retracing before the next move up
As you can see from the daily chart above, the price is below 1.17 one again. It had bounced off of this area yesterday in the afternoon, 17.40 in the evening. This morning, we can see that EUR/CHF has returned down.
The uptrend for this pair has been consistent for approximately a year. For now, it looks like we are going in the right direction. Right now the price is in retracing mode, which is always a good opportunity to look for longs.
The stochastic indicator is almost oversold, meaning that the retrace will soon conclude. The price has reversed back up whenever this technical indicator has reached these levels. Let’s hope it does the same again now.
In my opinion, the strongest bullish indicator is the 50 SMA (yellow). This moving average has kept the uptrend in place during all this time, and at the moment we are back down here, having a meeting with the 50 SMA. The chart setup looks quite bullish for the moment, and we gave it another go on the long side.