The following is a trade idea analysis for the USDCHF pair at the start of the week of 21 Aug 2016.
1. Support and resistance Price came of MM3 and price action resistance did not quite reach MM1 but retraced off price action support 2. Market 55 above 21 and diverging indicating bearish market 3. Price 8 EMA above 5 EMA indicating downward price movement
1. Support and resistance Price came down from WPP to WS3/Price support then retraced to 61.8 Fib level. 2. Market 55 above 21 and diverging indicating bearish market 3. Price 5 EMA currently above 8 EMA as result of recent retracement
1. Support and resistance Price moved up from DM2 on Friday. Week opened up at DM3 & 61.8 Fib level 2. Market 55 above 21 indicating bearish market but converging because of retracement 3. Price 5 and 8 EMAs close, could cross if price comes down. Stochastics exited oversold region.
Double top formed at 61.8 Fib level