Looking at the 4h chart of USDCHF, it’s pretty obvious that price has been in a consolidation of a quite a while, being traded into a range between 1.00100 and 0.98620.
On Thursday price breached below the lowest level of the range in addition to the 0.98480 a key support level, better seen into the daily chart.
In my books, this sudden spike to the down is a stop run. Smart money pushed the price below obvious support, washing sell orders sitting below only to push the price to higher levels almost instantly.
Jumping now into a long position has no value. Still, the price is going to rally but we better enter at the sweet level.
Just wait for the price to break above the minor swing I 've highlighted into the chart – 0.99570. Most likely price will retrace to the down accumulating more buy orders.
Go long in case your favorite setup completes and aim for at least the 1.00055 resistance level – the ceiling of the price range.
On Thursday price breached below the lowest level of the range in addition to the 0.98480 a key support level, better seen into the daily chart.
In my books, this sudden spike to the down is a stop run. Smart money pushed the price below obvious support, washing sell orders sitting below only to push the price to higher levels almost instantly.
Jumping now into a long position has no value. Still, the price is going to rally but we better enter at the sweet level.
Just wait for the price to break above the minor swing I 've highlighted into the chart – 0.99570. Most likely price will retrace to the down accumulating more buy orders.
Go long in case your favorite setup completes and aim for at least the 1.00055 resistance level – the ceiling of the price range.
