CHF/JPY trading strategy- Buy/sell asset: Sell CHF/JPY
- Entry price: 167.759
- Stop loss: 168.774
- Leverage: 1x
- Take profit 1: 167.00
- Take profit 2: 166.000
- Take profit 3: 164.00
- Timeframe: 1-2 weeks
- Maximum profit: 2.24%
- Maximum loss: 0.61%
The Swiss Franc reached an all-time high against the Japanese yen at around 170.530 last month. Since then the price of CHF/JPY has dropped and will likely further drop in the coming days and weeks.
Currently, the price has made a bearish head and shoulder pattern which indicates further decline. The market structure has also turned bearish the price of CHF/JPY will likely decline for an extended period.
I am considering the 167.759 resistance level for sell entry as this level has been strong support in the past and my recommended target for this trade is the 164.00 support level.
CHF/JPY fundamental analysisI am considering the 167.759 resistance level for sell entry as this level has been strong support in the past and my recommended target for this trade is the 164.00 support level.
I would recommend watching this trade while the NFP data is published as the market will likely turn volatile for some time.
Swiss franc to Japanese yen trade idea takeaways- The price of CHF/JPY is likely to drop further after it dropped below the bullish trend-line last month.
- The price is likely to drop to the 164.00 support level.
- Multiple take-profit levels have been added to secure profit along the way.
- The risk-to-reward ratio on this trade is 1:37.
- The entry and stoploss prices have been placed at secure levels with the least probability of getting hit.
- Good luck!
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