USD/CHF: Weekly technical outlook and review.
Weekly TF.
The weekly timeframe shows the buyers were in full swing last week, as a strong push up to the weekly supply area at 0.94546-0.93081 was seen. Will the sellers make an appearance this week and bring prices south? Only time will tell!
Daily TF.
A huge push was seen north on Thursday due to a few high-impacting news events, this push brought prices very near to around a daily supply area at 0.94546-0.93702 (located within weekly supply at 0.94546-0.93081).
On this timeframe, we believe the following could happen:
1. Pro money attempts to push prices higher into the aforementioned daily supply area (may be difficult though if they do not have the required liquidity).
2. Price could consolidate, pro money will push price higher and lower, enticing traders to trade the range on the lower timeframes, at which point, pro money’s main objective would be to stop as many traders out as possible to collect the required liquidity to push prices higher (sells for their buys).
3. Pro money may sell price hard into all those buyers who followed the bullish momentum last week. This move may potentially bring price all the way down to around the daily demand area at 0.91251-0.91378.
4hr TF.
Things have got very interesting on this timeframe. Last week price closed above the round number 0.93 on Thursday, and appears to have successfully retested it as support on Friday. With this in mind, take a quick look to the left of current price, you’ll notice there’s possibly consumed supply (take not of these wicks [0.93699/0.93403]) up to around an untouched/fresh 4hr supply area at 0.94546-0.94291 (beautifully located deep within both weekly and daily supply [0.94546-0.93081,0.94546-0.93702]).
Therefore, we know that price could potentially move higher, but how would pro money accomplish this? They would need liquidity to move prices that far. Granted, they may have accumulated enough liquidity from stopping out traders who were long around the round number 0.93, and also not forgetting trapping the breakout sellers as well, so essentially this could be all pro money needed for a possible move higher this week. Let’s just assume for a moment, they do not have the required amount of liquidity, where would they likely bring prices to then? We believe it is likely a decline may be seen down towards a 4hr S/D flip area at 0.92778-0.92469, normally we would not set pending orders in zones such as these, so we zoomed into the 5-minute timeframe to find where the actual decision was made to break this area in the first place, it’s a tiny zone seen at 0.92531-0.92606 where we have set a pending buy order just above at 0.92635, since we expect a first-time reaction when, or indeed if price reaches here.
Pending orders/P.A confirmation levels:
• Areas to watch for buy orders: P.O: 0.92635 (SL: 0.92410 TP: Dependent on how price approaches) P.A.C: No P.A confirmation buy levels are seen in the current market environment.
• Areas to watch for sell orders: P.O: No pending sell orders are seen in the current market environment. P.A.C: No P.A confirmation sell levels are seen in the current market environment.
The weekly timeframe shows the buyers were in full swing last week, as a strong push up to the weekly supply area at 0.94546-0.93081 was seen. Will the sellers make an appearance this week and bring prices south? Only time will tell!
Daily TF.
A huge push was seen north on Thursday due to a few high-impacting news events, this push brought prices very near to around a daily supply area at 0.94546-0.93702 (located within weekly supply at 0.94546-0.93081).
On this timeframe, we believe the following could happen:
1. Pro money attempts to push prices higher into the aforementioned daily supply area (may be difficult though if they do not have the required liquidity).
2. Price could consolidate, pro money will push price higher and lower, enticing traders to trade the range on the lower timeframes, at which point, pro money’s main objective would be to stop as many traders out as possible to collect the required liquidity to push prices higher (sells for their buys).
3. Pro money may sell price hard into all those buyers who followed the bullish momentum last week. This move may potentially bring price all the way down to around the daily demand area at 0.91251-0.91378.
4hr TF.
Things have got very interesting on this timeframe. Last week price closed above the round number 0.93 on Thursday, and appears to have successfully retested it as support on Friday. With this in mind, take a quick look to the left of current price, you’ll notice there’s possibly consumed supply (take not of these wicks [0.93699/0.93403]) up to around an untouched/fresh 4hr supply area at 0.94546-0.94291 (beautifully located deep within both weekly and daily supply [0.94546-0.93081,0.94546-0.93702]).
Therefore, we know that price could potentially move higher, but how would pro money accomplish this? They would need liquidity to move prices that far. Granted, they may have accumulated enough liquidity from stopping out traders who were long around the round number 0.93, and also not forgetting trapping the breakout sellers as well, so essentially this could be all pro money needed for a possible move higher this week. Let’s just assume for a moment, they do not have the required amount of liquidity, where would they likely bring prices to then? We believe it is likely a decline may be seen down towards a 4hr S/D flip area at 0.92778-0.92469, normally we would not set pending orders in zones such as these, so we zoomed into the 5-minute timeframe to find where the actual decision was made to break this area in the first place, it’s a tiny zone seen at 0.92531-0.92606 where we have set a pending buy order just above at 0.92635, since we expect a first-time reaction when, or indeed if price reaches here.
Pending orders/P.A confirmation levels:
• Areas to watch for buy orders: P.O: 0.92635 (SL: 0.92410 TP: Dependent on how price approaches) P.A.C: No P.A confirmation buy levels are seen in the current market environment.
• Areas to watch for sell orders: P.O: No pending sell orders are seen in the current market environment. P.A.C: No P.A confirmation sell levels are seen in the current market environment.
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