GBPCHF | Perspective for the new weekEnjoying a 250pips run in our direction on my last publication (see link below for reference purposes) on this pair, It appears we have another trading opportunity here-with.
The Pound to Swiss Franc (GBP/CHF) exchange rate holds steady as the price continues to respect Demand level @ Fr1.19300 in the last couple of weeks. Even though the Sterling continues to struggle against many of its peers, Chancellor of the Exchequer - Rishi Sunak unveiled a £4.6 billion relief packaged for the retail and hospitality sectors which "might" be a buffer as I am expecting an appreciation in value in the coming week(s) despite a possible Swiss National Bank (SNB) intervention reiterated at their recent policy meeting of 2020.
Tendency: Uptrend ( Bearish )
Structure: Double Bottom | Breakout | Supply & Demand | (50/61.8%) Retracement
Observation: i. We experienced a successful Breakout of Fr1.19500 (23rd Dec, 2020) followed by a rejection of this level twice!
ii. Demand level @ Fr1.19500 has been holding strong for buyers in the last 13days as expectations of Higher Highs build up.
iii. It is also worthy to note that demand level is holding a 50% retracement (with the possibility of hitting 61.8% open) of the Impulse leg after the Double Bottom @ Fr1.17200.
iv. It is pertinent to state here that our "caution" tentacle MUST be on standby as we might expect retracement into Fr1.18560 for a buying window.
Trading plan: BUY confirmation with a minimum potential profit of 220 pips.
Risk/Reward : 1:3
Potential Duration: 3 to 7 days
NB: This speculation can be considered to make decisions on lower timeframes.
Watch this space for updates as price action is been monitored.
Risk Disclaimer:
Margin trading in the foreign exchange market (including foreign exchange trading, CFDs, etc.) has a high risk and is not suitable for all investors. The content of this speculation (including all data) is organized and published by me for the sole purpose of education and assistance in making independent investment decisions. All information herein is for your reference only and I take no responsibility.
You are hereby advised to carefully consider your investment experience, financial situation, investment objective, risk tolerance level, and consult your independent financial adviser as to the suitability of your situation prior to making any investment.
I do not guarantee its accuracy and is not liable for any loss or damage which may result directly or indirectly from such content or the receipt of any instruction or notification therewith.
Past performance is not necessarily indicative of future results.
