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CHFJPY short hits target and reverses long

Market Analysis
2017-06-05_16-32-44

CHFJPY, Daily                  

Last Monday (May 29) I had a short trade trigger on the CHFJPY at 114.17 which hit target (113.20) for a 97 pip gain following last week’s LIVE ANALYSIS webinar.  That trade, as I explained during the webinar, was against the higher time frame (weekly and monthly) trend.  The breach and break of the 20 day moving average which took last week’s trade to target so quickly, did not hold. Wednesday saw a strong reversal, followed by two up days to close the week and reestablish the bullish bias on this pair. The parabolic SAR has remained positive and the RSI is 59 and rising. A long position was opened this morning at 114.60 with target 1 at the recent fractal high at 115.37 which is also the 14 DATR.  Target 2 is the next resistance area and fractal high at 116.50. A break of last week’s target at 113.20 would negate this position.

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Stuart Cowell

Senior Market Analyst

HotForex

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