Chart Prepared by Jamie Saettele, CMT
FOREXObservations: The low for the month thus far is day 1 of the month and the USDCHF has traded into channel resistance and the 100% extension of the 9214-9386 rally and 13139-12882 declines. The drop from the Tuesday high is overlapping at small degrees of trend and suggests that weakness is corrective.
FOREXTrading Strategy Implications: The drop from Tuesday’s high, while corrective, could be the beginning of something that extends into 9342/86. That said, risk is higher against 9295. I would go with strength on a pop above 9456 as well. In summary, risk is higher but I would rather buy slightly lower levels or a new high.
LEVELS: 9313 9342 9386 9456 9503 9538