Update: Entered short upon the Daily doji close / Position size was drawn down to meet my R/R because stops are
still in the same area. So to keep potential losses at the same rate I had to draw down the position sizing. Same targets.
As long as the pair continues to make lower lows / highs then the bear trend is still intact unless trend transforms to higher lows / highs. Currently the pair is nearing a critical area of resistance which is the 618 Fibonacci Retracement from the previous high at 1.1526 (Daily 50 MA also lies within the 618 area). Simple structure trading, previous support becomes resistance upon invalidation.
Short Entry : At the 618 Fibonacci Area
Stops: Above 1.1250
Trade Targets :
1 = The low at 1.0460
2 = -27 Extension
3 = -618 Extension (Confluent with historical weekly support)
Notes: LH = Lower High , LL = Lower Low
-Upon execution of target 1 stops will be moved to break even, and managed accordingly. Also I will leave roughly 15% - 20% of the trade active upon reaching target 3 in order to average / compound back into medium to long term short positions into this pair! ;-)
Happy Trading traders! Do not let fear cloud your judgement, this is a business of probabilities! =)
still in the same area. So to keep potential losses at the same rate I had to draw down the position sizing. Same targets.
As long as the pair continues to make lower lows / highs then the bear trend is still intact unless trend transforms to higher lows / highs. Currently the pair is nearing a critical area of resistance which is the 618 Fibonacci Retracement from the previous high at 1.1526 (Daily 50 MA also lies within the 618 area). Simple structure trading, previous support becomes resistance upon invalidation.
Short Entry : At the 618 Fibonacci Area
Stops: Above 1.1250
Trade Targets :
1 = The low at 1.0460
2 = -27 Extension
3 = -618 Extension (Confluent with historical weekly support)
Notes: LH = Lower High , LL = Lower Low
-Upon execution of target 1 stops will be moved to break even, and managed accordingly. Also I will leave roughly 15% - 20% of the trade active upon reaching target 3 in order to average / compound back into medium to long term short positions into this pair! ;-)
Happy Trading traders! Do not let fear cloud your judgement, this is a business of probabilities! =)