Here, I am looking for a reversal. The market was in a nice move but this has now occurred. There has already been a break at the top of the so I am now looking for a pullback at the 61.8 retracement level to give myself that extra bit of confirmation. I will have a buy limit in place at that level. This trade is known as the 2618 trade.
My stop loss will go below the and that level has also held good support in the past. My first target will be at the low of the break and my second target will be at the next level. IF the first target is hit, I will take off half of the position and move the stop loss to break-even for the second half of the trade, ensuring a risk-free trade.
Thank you for your support.
Risk: 150 pips x 2 = 300 pips
Reward #1: 180 pips. R:R = 1:1.2
Reward #2: 360 pips. R;R = 1:2.4
Plan your trade... Trade your plan.