Scalping USDCHF in weeks without Swiss news

[FXS London Scalper]

USDCHF is calmer than EURUSD most of the time, which some traders use as a second pair in weeks without Swiss news.

Considerations:

• London morning ranges are typically smaller than on EURUSD, so targets need to be smaller too.
• Spreads are often a bit wider, making costs a larger share of the move.
• USDCHF often moves as a mirror of EURUSD, so trading both at once doubles the dollar exposure.
• Swiss National Bank decisions and Swiss CPI can cause sharp moves; mark them in the calendar.

The history matters: in January 2015 the SNB removed the EURCHF floor and the franc moved more than 20% within minutes. Some brokers' clients ended with negative balances. It was an extreme event, but it shows why stops on CHF pairs aren't guaranteed.

A worked example of costs: a 1.2 pip all-in cost on a 6 pip target is 20%, compared with 0.8 pips on 6 pips for EURUSD.

Does anyone trade CHF pairs regularly?