The USDCHF has made important lows since 2012 in a fashion similar to what is happening now. That is, price has dropped sharply into the lows and made an inside week the next week. I'm still long with a stop at .9170.
Extensions of the recent AUDUSD range project .9114 (161.8%) and .8984 (200%). .8984 is of particular interest due to participants’ obsession with big round figures. If/when the market approaches .9000, expect many to proclaim terrible things for AUDUSD if it breaks .9000. The level is also home to a steep downward sloping trendline. I am looking for a tradeable low this week...watch the S&P 500 if it gets to 1550, especially if on Monday. This setup was discussed in detail during Friday’s DailyFX PLUS webinar.
Follow me on Twitter @JamieSaettele
Email List (Technicals sent in PDF form once a day)
Sentiment in the Forex Market (my book)
- Finance Trading