Chart Art: Make Or Break Support Levels For Spot Silver (XAG/USD) & USD/CHF

Looking for more dollar trades today? I gotchu!

USD/CHF is testing a major area of interest while spot silver (XAG/USD) looks set for a breakout.

What do you think of these charts?

USD/CHF USD/CHF USD/CHF USD/CHF : 1-hour

I don’t know if you’ve noticed but USD/CHF has been trading inside a 145-pip range since late February.

Range playas have another chance to play the pattern today as USD/CHF hangs out at the .9290 range support. After all, the level hasn’t been broken all month AND Stochastic is sending “oversold” vibes on the 1-hour time frame.

Buying at current levels would yield a good risk ratio especially if you target the mid-range zone near .9360 or the range resistance area near .9425.

Feel like selling USD against CHF instead? You might want to wait for a clear breakout below the consolidation before you aim for previous areas of interest like .9250 or .9225.

Silver (XAG/USD) Silver (XAG/USD) Silver (XAG/USD) Silver (XAG/USD) : 1-hour

Spot silver (XAG/USD) is consolidating in a 30-pip range just below $20.00!

But what caught my attention about the pair is that it has broken below consolidations at least THREE times since early February.

With the 100 and 200 SMAs still pointed lower, are we looking at a pause before the continuation of a downtrend?

Shorting at the top of the range or at the first signs of downside breakout could still get you in on XAG/USD’s downtrend especially if the commodity revisits its lows near $18.00.

I wouldn’t discount a higher pullback though. XAG/USD may find enough buyers to hit the 100 and 200 SMAs before we see sustained bearish pressure.

Whichever bias you end up trading, make sure to bust out your best risk management moves so you can trade for another day!

Remember, today is the tomorrow you worried about yesterday.

Dale Carnegie