I've got an area in the Swissie in here. It isn't a structured correction (many aren't in the Swissie daily). The main issue is that the Swissie is up so high already, it's hard to keep buying the corrections of this size, even though so far it's reacted strongly to them. It really needs to come down a lot more. But, the area is clear.

So, if the DX is planning to keep moving up, then this Swissie area won't likely hold. If the DX drops, as everyone says it will here, then I'd expect the Swissie to continue this initial move up (watch for a short-lived rollover, too, to test the deeper area of the grouping). Understand the DX is not perfectly correlated with the CHF, the DX being most heavily weighted to the Euro.

The EUR/CHF is right on classic lateral support, so that would imply Euro up and/or Swissie down, if that held (it looks ripe, to me, to keep rolling off that bearish ABCD and take out all of that 'support'...). Do some other chartwork on other currencies to see what your opinion is on this one, but it is key to watch either way, as it is the 'flight to quality' currency right now, especially for Europe.

All comments are basis continuous futures contracts. Some of you FX traders may have to flip some of your charts over to follow what I'm saying.

In case someone hasn't checked CHF pairs yet - CHFJPY daily is very similar to EURCHF set-up, although it formed expanding 1.127 correction, supported with grouping combined of internal retracements and APP.
The correction on USD-CHF 4 hours chart seemed almost perfect to me, but as I have always expected context is the hardest thing to learn. Thanks for warning Jim

Hi Marcin,

it's nice to see another person interested in Forex trading :) I was also watching CHF/JPY and finally I entered the market. I did it quite late because I was having troubles with choosing the best entry trigger for this issue. Here are the charts for CHF/JPY:

Traded TF, Daily



Entry TF, 240M

Right now I'm waiting for the second thrust on the entry TF to finish and then I'm going to put few moving averages to act as the trailing stops.

CHF/JPY: The second thrust is on its way. For the night I moved my SL just below 0.786 of the beginning of this second thrust. If nothing happens I will use 20, 40, 60-EMA's as a trailing stop setup and scale down each time EMA's will be violated. We'll see how it plays out.

Has anyone been following this Swissie play? I may have to post a chart. It got into the high end of the area, and then did a little bounce and a 1.272/1.460 rollover right to the key line. It then rocketed out of the hole, did a bunch of disorganized 'W2' chop and then took off like a scalded cat into a 'W3' type impulsive move. From the high 11's now well into the 17's. Like I said, I have an area. Note, too, the end of the 'W2' chop was a near perfect 'retest' of the key line. And BTW, yes, that's another new all-time high for the Swissie...

Yes, nice trade, it's really has some nice flow.

How many different pairs do you follow? Would you mind sharing them. I have been trading just 7 or 8 of the US crosses.

I only follow tick for tick the EUR, Aussie, and Swissie right now. I usually follow GBP, the Loonie, and the Yen fairly closely, too, but not as much lately, due to time constraints. Aussie amd EUR I follow for intraday trading, too. I look at AUD/JPY, EUR/JPY, and EUR/CHF, too, for higher timeframes, but don't look at them for trading. I don't trade spot FX any more because they trade against their customers and screw them wildly (at least they did at the 'big' place I traded, as discussed elsewhere), I would only consider trading regulated futures contracts (or options on them). Hence, some of the crosses are not very feasible as far as liquidity. I may look at trading FX again via a place like IB, where they supposedly don't trade against you.

Originally posted by iso

Yes, nice trade, it's really has some nice flow.

How many different pairs do you follow? Would you mind sharing them. I have been trading just 7 or 8 of the US crosses.

I have been trading spot fx at mb for the last year or so and it seems to have pretty tight spreads and decent fills.

My experience is somewhat limited, as I got turned off pretty fast to being ripped off, so I gave up spot FX. I read a lot of forums where they said the same thing, with almost all FX brokers at the time. My fills were good, the spread fine, but since they were the only ones on the other side, they could screw me at will.

Here's how, and it's what I read elsewhere. I'd get a fill, and put in a stop, say 20 or 25 pips away. It would move a little in my favor, sit there, or come in a few pips. Bang, you're filled on your stop, 25 pips away from the market. What? I'm filled? There aren't any trades there at all. Yes there is, yours. You see some of those long tail spikes you see in many FX broker's charts? Those were me, and everyone like me. And many times the spikes didn't even appear on the broker's charts. I was just filled.

It happened pretty much every single time, without fail. I'd go say 50 pips away and they wouldn't hit it. They knew how far they would be willing to screw you and think they could get away with it. Calling up and screaming did no good, they'd just say some trades went off at that price and my order was filled.

If I recall correctly most if not almost all those trades never came back in much, and would have been winners. I eventually just traded without a stop, or with a wide catastrophic stop. But, I figured, is my money safe with a broker who would do this? Do I want to do business with a place like that? Many said this is the case all over.

I guess that must have changed, as I don't hear much about it nowadays. Also, I just didn't trust my money, however small I might make the account because of this lack of trust, with unregulated FX brokers. At least with an FCM you have some semblance of safety. So, that's what got me away from spot. Maybe I'll try it again. I've written about this before, I just don't know which thread it's in.

I'm watching this pair too. I had to reenter the trade, as rollover hit my stop loss. So far W3 has reached 112.8 external retracement of the last correction.
Maybe it's a silly question but what do you mean by 'From the high 11's now well into the 17's ' ?

Originally posted by jimkane

Has anyone been following this Swissie play? I may have to post a chart. It got into the high end of the area, and then did a little bounce and a 1.272/1.460 rollover right to the key line. It then rocketed out of the hole, did a bunch of disorganized 'W2' chop and then took off like a scalded cat into a 'W3' type impulsive move. From the high 11's now well into the 17's. Like I said, I have an area. Note, too, the end of the 'W2' chop was a near perfect 'retest' of the key line. And BTW, yes, that's another new all-time high for the Swissie...

Thank you.
My question arised form the fact that I have USD/CHF quotation unlike CHF/USD visible on your chart so I couldn't find the levels you mentioned.
1.1186 rollover level on USD/CHF is reciprocal of 0.8940 on CHF/USD. 17's are explained the same way.