Top down analysis of EURUSD - please comment any feedback or ideas!
Case 1:
Price hits the neckline and rebounds - buy/long trade here with stop loss below the neckline and take profits halfway up the right hand shoulder (close half and move stop loss to entry or even better in profit). Final take profit just before the top of the right shoulder.
Case 2:
Price hits the top of the right hand shoulder - should this become the case, look for a rebound from this resistance level, place stop loss above the weekly resistance with take profits 1 and 2 before the neckline (take maybe a third at take profit 1 and a if there is a rebound at take profit 2, close the trade. If the neckline is broken, essentially have an open take profit.
*In all trades look closely at candles to determine price action before entry*
This was a long term trade that I called last weekend when price was at the neckline - hold this (profits for this week we be measured from market opening not when I originally called this trade).
Case 1:
Price hits the neckline and rebounds - buy/long trade here with stop loss below the neckline and take profits halfway up the right hand shoulder (close half and move stop loss to entry or even better in profit). Final take profit just before the top of the right shoulder.
Case 2:
Price hits the top of the right hand shoulder - should this become the case, look for a rebound from this resistance level, place stop loss above the weekly resistance with take profits 1 and 2 before the neckline (take maybe a third at take profit 1 and a if there is a rebound at take profit 2, close the trade. If the neckline is broken, essentially have an open take profit.
*In all trades look closely at candles to determine price action before entry*
This was a long term trade that I called last weekend when price was at the neckline - hold this (profits for this week we be measured from market opening not when I originally called this trade).