Pick of the Day: USD/CHF

At the open of the Euro trading session we saw the US dollar rally against all the majors as traders look for a safe haven from the North Korea missile situation. So, the question now is, “is this rally done?” Well, we have the US Durable Goods report coming out tomorrow morning at 8:30 am EST. The forecasted number is about 0.4% versus the previous month at -4.4%. That’s a pretty wide margin and this number maybe already priced into the market. We’ll just have to wait and see tomorrow when the number is released. In case we see a surprise number lower than expected, here’s a trade that should work out satisfactorily:

Short USD/CHF 1.2390, stop at 1.2420, pt1 at 1.2365, pt2 at 1.2353