Both the upper and the lower have been tested 3 times without breaking and PA currently sits at the top of this channel (with a line crossover) so I am looking to sell the high. Assuming it will continue its way down, I have marked two profit targets along the way, both just above key support levels. SL goes outside the channel, 10 pips behind the marked . There are 215 pips on the line and the trade has a reward – risk ratio of 5.2!
UPDATE: Though this trade looked promising and at one point I was 26 pips into the short, PA suddenly reversed when the euro strengthened after the SNB vice president said it remained ready to intervene in the markets. That´s why we have a stop loss in place to minimise the loss. On to the next trade!