CHF as Market Protection

USD/CAD V CAD/CHF CHF as protection

Ex. GBP/USD below 1.2983 price went missing to its normal averages.

Brexit failure and GBP/USD fall bottom was found at GBP/CHF 1.2818.

GBP/CHF as protection stopped the risk pair’s further drop.

Same principle as EUR/CHF stops EUR/USD, NZD/CHF stops NZD/USD, AUD/CHF stops AUD/USD. CAD/CHF stops USD/CAD.

Without GBP/CHF 1.2818, GBP/USD would fell far lower to its own 1.2600’s.

GBP/CHF message was no way GBP/USD to fall further. Self contained is currency markets, understood by few. USD/CAD last post spoke to 1.3232 as weekly short point.

Fully factored above 1.3232 was ironically 1.3301 at the upper most extreme. Extremely rare day for any currency pair to trade at uppermost maximum.

Weekly since February, yesterday was 1st time USD/CAD went to furthest extreme for example. More intense overall is USD/USD went missing above 1.3081.

CAD/CHF below 0.7606 was written 0.7548 as normal target , fully factored at 0.7519.

CAD/CHF traded to 0.7461 and 58 pips from 0.7519. Extraordinarily rare to see such a day especially from CHF. Adjustment strategy requires hurry to range views to find bottoms, tops, entry, targets. Why is because CAD/CHF below 0.7566 also went missing, dangerous situation. Certain areas, prices are untouchable.

 

Brian Twomey

 

 

USD/CAD V CAD/CHF
Purpose of CHF in overall markets is protection, a dictatorship to dead stop a price rise or fall, to force ranges, trend changes, continuations, price rest zones, to command types of traded markets.
As currency pairs, CHF offers exact long / shorts levels or trade able zones.
GBP/CHF to GBP/USD we will stop at low 1.2800’s, got it.
USD/CHF is viewed as the Signal pair as every category of currency pairs offers a signal to the wider audience.
CHF/JPY is signal to JPY crosses as example. Then comes Loonie town as CAD/CHF 0.7604 is the exact opposite pair to USD/CAD, its protection to direction and target trend determination.
Both pairs are problems as price noise is astounding, means must move but to acceptable levels.
CAD/CHF high low break point 0.7606, USD/CAD 1.3094. Price noise to complete opposite pairs, more than a problem, its Loonie. USD/CAD multi week average located at this week 1.2970 coincides to CAD/CHF solid line at 0.7705. CAD/CHF longer range target is 0.7763 or USD/CAD 1.2881 but USD/CAD must break 1.2970 and CAD/CHF 0.7705. Tough order. Sell USD/CAD rises, long CAD/CHF drops, leave longer term alone until resolution. Watch USD/CAD 1.3163 and 1.3232, CAD/CHF below 0.7606 to 0.7577 and 0.7548.

 

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