GBPCHF: One Market and 2 Sell Opportunities
British Pound/Swiss Franc FX:GBPCHF
The daily chart tells us about the downtrend. It means that for getting more reliable signals, it will be better to search for sell opportunities using lower timeframes. In this post, we will talk about two possible entry zones for sell trades.
The 1st entry zone is below the local swing low and 1.21000 support level . If the price breaks this support, it will be possible to open sell trades with stop orders above 1.22000 resistance and the local swing high. Profit targets for such trades will be 1.19000 and 1.17000 support levels.
If the price bounces from the 1.21000 support and breaks 1.22000 resistance, we should be ready to see an upward movement to the main downtrend line. The reversal from this line will give us the 2nd entry point. It will be better than the 1st one as the market will have more space for the downward movement. Stop orders for such sell trades must be placed above the downtrend line and a new swing high. Profit targets will be 1.21000 and 1.19000 support levels.
As you can see from this post, one market can give us two possible sell opportunities in the same structure of the bearish trend from the daily chart . Don’t rush with trading. Add this market in your watch list and wait for the breakout or the reversal signals in the important zones.
Source: TW DLavrov