Saxo Group Videos

Faraday: USD Swiss recovery offers opportunity

Faraday analyst Alex Joyner talks us through his ideas for a USDCHF trade.

Alex says "Following the recent shock SNB decision, US Dollar/ Swiss Franc was one of the currency pairs which felt the full force of the turmoil. With a phenomenal drop of over one and a half thousand points on the day, many traders were caught short.

Looking at the daily chart we can see that now the dust has settled, buyers have stepped back in causing a slight retracement higher. This has created a potential selling opportunity, which could allow us to join the strong downwards momentum.

On the 4 hour chart, its clear this pull back up has occurred within in an ascending triangle formation. The price action is currently testing the top of this triangle around the 0.8800 major psychological level.

This has held as resistance several times already and if we see a clear move lower from it today we would look to sell the pair. This should lead to a test of the triangle support down near the 0.8600 level and a subsequent break below this could result in an even bigger."

01:00 minutes
Tags: faraday research, federal reserve, foreign exchange, foreign exchange market, forex, forex 2014, forex 2014 outlook, forex and more, forex audusd, forex buying, forex eurusd, forex exchange, forex idea, forex market, forex market overview, forex markets, forex saxo bank, forex strategy, forex trade idea, forex trade ideas, forex trading, forex trading 2014, forextrading, forward guidance, fx, fx award, fx changes, fx crosses, fx dealing, fx dollar swiss, fx eurgbp, fx eurjpy, fx exchange, fx forex, fx gbpusd, fx interbank markets, fx investing, fx market, fx markets, fx options, fx pound, fx regulation, fx saxo bank, fx spot, fx sterling dollar, fx strategy, fx trade, fx trade idea, fx traders, fx trades, fx trading, fx tradinging, fx trends, fx usdjpy, fx volatility, fx volatitily, fx vols, fxallocationmodel, fxfx, fxfxfotrex, fxfxfx, fxmarkets, fxmonthly, fxoptions, fxspot, fxtrade, swiss, swiss bank, swiss bank meeting, swiss currency, swiss economy, swiss franc, swiss francs, swiss frank, swiss gold referndum, swiss national bank, swiss rates, swiss referendum, swiss trader serge berger, swissfranc, swissie, swissie franc, switch, switching, switzerland, us, us economy, usd, usd index, usdeur, usdgbp, usdjpy

Switch to