USD/CHF:The pair briefly stopped its long downtrend started a few weeks ago, and corrected it by about 33% until the level of 0.9757. USD/CAD:As opposed to our estimations, the uptrend didn’t stop and last session’s candle was quite long and relevant. This candle just reached the resistance 1.0376.
USD/CHF
Daily graph: http://www.real-forex.com/charts-daily/201010/CHF_DAILY_201010.JPG
The pair briefly stopped its long downtrend started a few weeks ago, and corrected it by about 33% until the level of 0.9757. Our analyses estimate a high probability for the correction to stop here and the decrease to come back, creating an opportunity for a “Short” transaction.
A deceasing configuration on 1-hour graph should appear in order to confirm our estimates.
One – Hour graph: http://www.real-forex.com/charts-daily/201010/CHF_1H_201010.JPG
Potential trade:
The required configuration should appear once the support 0.9692 crossed down ward.
· “Limit” order on “Short” position 10 pips below the mentioned support – 0.9682.
· “Stop Loss” on the last high occurred – 0.9723.
· “Take Profit” on the next support level – 0.9651.
Notice: There is a possibility for the trend to keep decreasing for about 10 pips and then a correction of 50% to 61.8% may occur.
USD/CAD
Daily graph: http://www.real-forex.com/charts-daily/201010/CAD_DAILY_201010.JPG
As opposed to our estimations, the uptrend didn’t stop and last session’s candle was quite long and relevant. This candle just reached the resistance 1.0376.
Please pay attention to the following points:
· The intensity of the last two sessions.
· Regarding several weeks ago, the pair doesn’t follow any specific trend.
Those facts suggest the pair won’t be stopped by the mentioned resistance but will break it and reach the next resistance at 1.0513.
Such an event may occur after a light technical correction, and once the resistance crossed upward on one-hour graph. For those who believe the pair will not be stopped at 1.0513 but later, our estimations suggest an additional resistance at 1.0674.
No matter how long you believe the current trend will last, we suggest several levels of “Take Profit” on the way.
Have a profitable day!
