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26.08.2012 09:22 AM
USD/CHF: Weekly Technical Levels for August 27 - 31, 2012

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Weekly Technical Levels:

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Tip (s):

 

 

  • R3 and S3 can be both regarded as clear indicators of the maximum range of extreme volatility, though it is possible to pass them through.
  • Pivot lines can be applied well on the sideways markets, as prices will probably be located between R1 and S1 lines.
  • Within a strong trend the price is expected to be lower than the pivot point line and will continue the movement.
  • In case of breaking news release that may affect the market, the price is likely to go straight through R1 or S1 and even reach R2 & R3 or S2 & S3.


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Observation (s):

  • If the trend is of an upside character, then the strength of the currency will be defined as following: USD is an uptrend and CHF is a downtrend.
  • Fibonacci retracement uses to determine accurate psychology level of support and resistance, and playing according to in this kind of period.
  • Fibonacci in a range trader (it is looks like the trend is trapping and going up or down, if you sell or buy for a long term in this period you'll go sure for losing your profit.
  • Stop Loss should NEVER exceed your maximum exposure amounts.
  • Usually the market has a high volatile, if the last day had a huge volatility.

 

If you have any questions or requests, please feel free to contact me: [email protected].

Summary
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Mourad El Keddani
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