Pattern analysis on USD/CHF 4H chart

Обновлено
USD/CHF or the Swissie as most people refer to, has an interesting falling wedge formation as shown on the chart presented. The falling wedge breakout is a chart pattern that works out really well for me on this pair specially on time frames above 1 hour.
Another interesting confluence to this chart is an awesome oscillator divergence, which is rarely seen but it adds a strong confluence to our analysis. A divergence between the oscillator indicates that the price is making lower move, but with a relatively less momentum as compared to the downward move it made earlier. This complements the falling wedge chart pattern as both of them indicate a bearish trend that is losing its strength.
An ideal long entry at this pair can be made at the first retest after the price breaks the falling wedge pattern.
I have approximated a potential move of 38 pips above the entry as we can see a strong supply zone in that area where sell orders are expected to be triggered.
Another confluence to our analysis can be the strong fundamentals of the US economy with an excellent performance of the US stock market, a moderate rate of inflation and finally the extraordinary unemployment release we got earlier.
Therefore, I believe that this trade is worth a shot. However, since we are going against the trade this time, I would make sure to minimize my risk by reducing the lot size here.
Further opinions are highly welcomed on the comment section below. Happy trading!
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Beyond Technical AnalysisChart PatternsForexTechnical IndicatorspriceactionanalysisswissieUSDCHFusdchflongsetup

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