USDCHF Long

RSI Divergence + Break of Structure on USDCHF Daily
ChartDescription:
Trade Setup:
Pair: USDCHF
Timeframe: Daily (D1)
Indicators Used: RSI (14), Candlestick Patterns
Key Observations:
RSI Divergence: A bullish RSI divergence was observed, indicating a potential reversal in the USDCHF pair.
Break of Structure: The price broke above a key structure, suggesting a shift towards an upward trend.
Oversold Condition: The RSI is in the oversold zone, indicating the market could be ready for a bullish correction.
Inverted Hammer Candlestick: An inverted hammer formed at a critical support level, and the daily close above this candle confirmed potential bullish momentum.
Trade Details:
Entry Price: 0.8480
Stop-Loss: 0.8390 (90 pips)
Take-Profit: 0.8740 (260 pips)
Risk/Reward Ratio: 2.89
Trade Rationale:
Entered a buy position at 0.8480 after confirming the bullish signals.
The stop-loss is set at 0.8390, just below the inverted hammer’s low to minimize downside risk.
Targeting a move towards 0.8740, which aligns with a previous resistance level, providing a favorable risk/reward ratio of approximately 2.89.
Have a good trading day 🤑
Peace and Love