Friday, December 17, 2010


USDCHF managed to hold its weekly uptrend line with the swing low to .9560 earlier this week. Today it has pushed one pip lower which doesn't seem like much but it's clearly trying to base. On the three-hour chart (not shown), there has been a robust push off this low so we'll have to see if the pair can pull it off. On the monthly chart (not shown), the high this month is within a couple of pips higher than last month. The best case scenario—basing and then moving on up to 1.0154/68, 1.0330 and above—is only going to succeed if the USD index moves up. Support is at .9558 and .9463. RSI has dipped slightly below its uptrend line on the weekly chart. If price follows then the lows may indeed come back into play.

Here's the weekly chart:

© Dianne Fecteau, 2010. No part of this material may be reproduced in any form, or referred to in any other publication, without the express written permission of the author.

My purpose in writing this blog is to show you how one trader, me, makes trading decisions and survives while trading Forex. One of the biggest problems I had when I first started trading was trying to apply the “rules” to actual trades. Another was the psychology—limiting losses and letting profits run. If you study my blog, you’ll see how I deal with both those issues. So my writings are not trade recommendations but rather educational in purpose. You have to decide on your own approach to trading. Remember that trading is risky.

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