USDCHF - Short Short, Long Long
Technical analysis -
The market has already broken a bearish trend and broken out into a descending channel.
A descending channel suggests that the market will enter a bullish phase once broken, but thus far is still respecting the formation.
Short trade was entered after the market rejected from the top of the channel and I expect to see a triple bottom on the bottom trend line before breaking into a long position to the start of the initial bearish trend.
At time of posting the market is set in an expanding triangle, suggesting the market is reversing from its bullish movement within the channel, reinforcing the short position to the bottom of the channel.
The higher time frame analysis still suggests a long term long position after the rejection at the bottom of the channel
The market has already broken a bearish trend and broken out into a descending channel.
A descending channel suggests that the market will enter a bullish phase once broken, but thus far is still respecting the formation.
Short trade was entered after the market rejected from the top of the channel and I expect to see a triple bottom on the bottom trend line before breaking into a long position to the start of the initial bearish trend.
At time of posting the market is set in an expanding triangle, suggesting the market is reversing from its bullish movement within the channel, reinforcing the short position to the bottom of the channel.
The higher time frame analysis still suggests a long term long position after the rejection at the bottom of the channel
Comment:
the market has since continued to support the analysis by breaking below the supporting trend line on the expanding triangle and has retested and rejected from it, making it a resistance.
Comment:
The market broke a little lower than the bottom trend line but within the allotted stop loss, it has since corrected as expected and is already making its way back to the top of this initial formation. after posting a short corrective descending channel it has broken out and continued to move upwards, posting bullish candles and creating higher highs in its swings. I anticipate this market reaching the top of the descending channel marked and potentially continuing to the top of the bearish trend line which it is reversing from.