USD/CHF Reverse Head and Shoulders
USD/CHF is showing a clear reverse head and shoulders pattern, which indicates a possible trend reversal. However, the edge of the last shoulder intersects a strong descending trendline and so there are two possible scenarios:
Long:
-If price clearly breaks above the Resistance Zone as well as the trendline, wait for a retest and look for a long entry;
-First target around 0.9100.
Short:
-If price rejects the Resistance Zone and the trendline, with a strong bearish confirmation candle, look for short entries;
-First target around 0.8770.
Use stop-losses, a good risk management and remember this is not financial advice.
Long:
-If price clearly breaks above the Resistance Zone as well as the trendline, wait for a retest and look for a long entry;
-First target around 0.9100.
Short:
-If price rejects the Resistance Zone and the trendline, with a strong bearish confirmation candle, look for short entries;
-First target around 0.8770.
Use stop-losses, a good risk management and remember this is not financial advice.
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