Good afternoon traders! A trading idea for the USD / CHF pair.
Over the years, the weakness of the US dollar has pushed the USD / CHF pair down to a year low. But yesterday, the quotes turned around and the pair is likely to continue rising up in the trading chart.
A feature of the USD/CHF pair is having low wave volatility on a large scale. In the chart above, it is clearly shown that the pair has dropped by 1000 pips over the year, and by 7000 pips over the last 4 months. These are practically its extreme values of historical volatility (with the exception of changes in the interest rate on CHF) so the probability of having a correction is very high.
Hence, long positions with buy limits are the most recommended, starting from the current price and below every 50-100 pips in 4 digits. In addition, control the risks to avoid losing profit.
The material has been provided by InstaForex Company – www.instaforex.com
Source:: Trading idea for the USD/CHF pair