Start value: 0.8629
Why: It just got repeled at 0.8636. It tried to stay on top of it for a few hours but it lost it's steam and went under.
Stop loss: 0.8643
Why: Intersection with the channel it is in now, possibility to break out of it.
Exit 1: 0.86
Why: It intersects another possible resistence level
Exit 2: 0.8586
Why: intersection with an older support line confirmed multiple times
Why: It just got repeled at 0.8636. It tried to stay on top of it for a few hours but it lost it's steam and went under.
Stop loss: 0.8643
Why: Intersection with the channel it is in now, possibility to break out of it.
Exit 1: 0.86
Why: It intersects another possible resistence level
Exit 2: 0.8586
Why: intersection with an older support line confirmed multiple times
Comment:
The middle of the trend line, the red line in this chart, seems to attract the price much more then expected. The red line is the middle of the descending trend CHF is in for a long period of time.
There seems to be much indecision regarding the direction. It will be interesting if in the following hours it hits 0.8657.
Our stop loss has been hit already. 14 pips have been lost. We can try to enter again at 0.8657 and hope for a lower low (under 0.8626) for the future lower high.
There seems to be much indecision regarding the direction. It will be interesting if in the following hours it hits 0.8657.
Our stop loss has been hit already. 14 pips have been lost. We can try to enter again at 0.8657 and hope for a lower low (under 0.8626) for the future lower high.
Trade active:
0.8657 was a good entry. I should have mentioned the stop loss.
It is 0.8667 because it was at about 80% of the latest high and it could mean the start of an uptrend.
I have 2 exits in mind for this trade.
Exit 1: 0.8634 - which is a higher low then 0.8628, and which would look like an uptrend (higher highs and higher lows). Also, this one is around the red trend line.
Exit 2: 0.5895 - which would maintain a higher low comparing to our previous higher low.
The win:risk ratio is 2.5 (25 pips) :1 (10 pips)
It is 0.8667 because it was at about 80% of the latest high and it could mean the start of an uptrend.
I have 2 exits in mind for this trade.
Exit 1: 0.8634 - which is a higher low then 0.8628, and which would look like an uptrend (higher highs and higher lows). Also, this one is around the red trend line.
Exit 2: 0.5895 - which would maintain a higher low comparing to our previous higher low.
The win:risk ratio is 2.5 (25 pips) :1 (10 pips)
Comment:
Considering the latest activity I will move the stop loss to 0.8654 because the downtrend can revert. It has happened before, that after lunch, the CHF to go strong until the end of the day.
Trade closed: stop reached:
0.8654 reached, stop close trigger. Would not open any new trade because the current 1D candle is inside 2 previous candles. Not a good place to start from.
Comment:
The trade failed because I did not check the 30 minutes graph. On it it was very obvious that it is going up.
Next time I should look at multiple time frames in the same time.
Next time I should look at multiple time frames in the same time.
If the short is successful the win:risk ration is 2:1.