My picks: Buying Dips in EURCHF
Expertise: Fundamentals Combined With Technicals
Average Time Frame of Trades: 1 Day - 1 Week
I'm currently long EURCHF, as the pair has broken out of a falling channel formation and price tested former trendline resistance at 1.5150. I'm looking to target 1.5277 (the 61.8% fib of 1.5383-1.5108) or 1.5382 (the 6/24 high), and I will continue buying dips in the future.
I've been focusing quite a bit on the JPY crosses, and yesterday I sold EURJPY on its failure at the 61.8% fib of 136.90-127.00 at 133.12, and I'm looking to hold on to the position until at least 127.07 (200 SMA). Overall, I think the potential for broad-based risk aversion remains high, especially ahead of Friday's Q2 earnings reports from Bank of America and Citigroup, as well as the potential bankruptcy of CIT Group, a large commerical lender.
