USD/CHF: For the last three weeks, an important uptrend corrected the previous direction of the pair until a very important resistance on the daily graph: 0.9933.
USD/CAD: The navigation started a few weeks ago was stopped in the beginning the actual trading week. Two sessions ago, the pair broke the support of 1.0180, which became the new resistance.
USD/CHF
Daily graph: http://www.real-forex.com/charts-daily/November2010/CHF_DAILY_031110.JPG
For the last three weeks, an important uptrend corrected the previous direction of the pair until a very important resistance on the daily graph: 0.9933.
Once reached, the pair tested that resistance, but failed to cross it, involving a new decrease started during the last trading session.
In order to catch the opportunity created to go “Short”, we suggest waiting for the confirmation of the new trend which should appear by the identification of a decreasing configuration on One-Hour graph.
Potential trade
One-Hour graph: http://www.real-forex.com/charts-daily/November2010/CHF_1H_031110.JPG
The required configuration should appear once the One-Hour support of 0.9758 will be crossed downward. At this time the market order should be entered. The following is one possibility:
· “Limit” order on “Short” position 10 pips below the One-Hour support level mentioned earlier; meaning: 0.9748.
· “Stop Loss” on the last high appeared: 0.9798.
· 1st degree to order “Take profit” should be n the following support: 0.9704
USD/CAD
Daily graph: http://www.real-forex.com/charts-daily/November2010/CAD_DAILY_031110.JPG
The navigation started a few weeks ago was stopped in the beginning the actual trading week. Two sessions ago, the pair broke the support of 1.0180, which became the new resistance. Currently, the pair is making its way to the interesting support of 1.0060.
The behavior of the pair when it will reach that new support should determine the future trend and of course, the positions that should be taken:
1. A vain breach of the support (test) could suggest a “Long” position.
2. If the support is effectively broken, a short technical correction should occur, confirming the change from support to resistance and preceding the new bearish trend. That should create the opportunity to go “Short”.
Keep following…
Have a profitable day!
Real-forex team.