It is Wednesday sorry it's coming a bit late my dudes! Get over the mid-week hump by trading not one, but TWO major dollar pairs today.
Specifically, we’ll look at a triangle on USD/CHF and a breakout situation on EUR/USD.
Get ’em while they’re hot!
USD/CHF 4-hour Forex Chart USD/CHF 4-hour Forex Chart
USD/CHF is knocking on the .9375 handle, which has been supporting the dollar since mid-June.
Thing is, the pair is also clocking in lower highs on the 4-hour time frame. We’re looking at a descending triangle during the downtrend, yo!
While descending triangles tend to break to the downside, a triangle still represents indecision. That means not discounting an upside breakout just yet.
You can take advantage of the .9375 support by buying at current levels until it reaches the descending trend line or breaks above the resistance. .9450 and .9475 look like legit targets if you’re into buying the dollar these days.
If you think that the dollar’s downtrend will get fresh legs, however, then you can also wait for a clear break below the triangle support and then target areas of interest near .9325 or .9250.