USD/CHF SHORT-Broken out of Wedge, Higher Timeframes to Downside

17 de jan. de 2017

I have taken a short position on this pair, it has been creating LL's and HL's on the 4HR timeframe, it is bouncing between the daily and monthly resistance levels so is currently on a downtrend on its way to the monthly level. The weekly level formed a shooting star a couple of weeks ago and is on a steep descent towards the monthly support. Monthly level is forming an evening star, so the overall trend is bearish at the moment for this pair and we are trading with the trend. R/R is a little lower than usual on this trade, however there are some strong confluences to support it. I have placed my TP at a daily support level.

TP @ 0.99486
SL @ 1.00557
R/R 1.33

18 de jan. de 2017

Trade fechado: stop atingido

SL reached. I should have waited to see if the price would retest, the pair and go back above temporarily for the small retest before it continues on a downtrend to the monthly support.

I will keep checking this pair until it is rejected from the upper trendilne of the wedge and then take another short position out.