Hey all, the past few days have been quite slow as I've still been holding a few positions from my earlier ideas but I thought I'd share my thoughts behind this one. I've never traded this pair, but I drew out the formation of the falling wedge quite a while ago and knew that the Euro's recent massive surge must have broken through it. This is a very interesting situation as it means that the price is trying to rally back to its recent maximum at 1.19 - and possibly even beyond that. The ones that have been following my ideas in the past will have noticed that I avoid trading the news so it wasn't a realistic idea to assume that the price would have broken through the way it did (we'd be gambling if we tried to trade the elections). However now that it has, I can see it hitting these 3 strong daily S&R levels with a bit of consolidation in between. The reason why this entry is a little higher than usual is because we can see a clear area of consolidation (marked by the blue rectangle) where the price may experience a similar fate. If that area is cleared, then we can reasonably expect the aforementioned targets to be hit with ease.
Setup
Entry: 1.09031
SL: 1.08015
TP: 1.09749, 1.11050, 1.12054
Setup
Entry: 1.09031
SL: 1.08015
TP: 1.09749, 1.11050, 1.12054
Comment:
Target 1 reached
Trade closed: target reached:
All three targets have been reached for a 300 pip gain!