#GBPAUD: Bullish Engulfing on Upward Trend Line with Divergence

FX:GBPAUD   British Pound/Australian Dollar
216 2 2
After a successful SHORT trade of the previous swing :
#GBPAUD: Short the Price Heading down to Upward Trendline

Today we are blessed to have a well defined Bullish Engulfing appearing on upward trend line (in Red) supported by RSI divergence.
Short time momentum for a reversal seems not to be huge ( engulfing size is not so big) but upward trend line (red) has been well respected so far and indicates me that it worth             the shot.

Price can also be attracted lower by the major support at 1.8638 with confluence of 0.5 fibonacci, so keep an eye on it, it can produce a good second opportunity if it doesn't work on this one.

We will wait for today close to set the entry point and trigger the LONG position.

Please, feel free to comment and share.
We are social trader after all !


Trading rules are :
1. Trades are taken in 1, 2 or 3 units depending the situation.
2. If 90 percent of first target is reached I move stop loss to break-even.
3. If 90 percent of first target is reached without triggering entry I cancel the trade.
4. About targets : this is not an arbitrary approach, because every situation evolves different, targets will be adjusted according how price behave on key levels.
My 5 tips to keep in mind that will save you from losing :
- Make sure to have enough Momentum on your side
- Use powerful confluences ( BRN             , major S/R, Div             , Trend-lines, Fibos)
- Have enough space to reach 2 Ratio:Reward at least, avoid tricky noise situations
- Good price action ( pinbar , inside bar etc..) at bottom/top for a good price
- Enjoy your wins and learn from your losses

Wish you great success !

Good so far
second FTA reached, keep en eye on the price today
Ideas Scripts Chart
United States
United Kingdom
Home Stock Screener Forex Signal Finder Economic Calendar How It Works Chart Features House Rules Moderators For the WEB Widgets Stock Charting Library Priority Support Feature Request Blog & News FAQ Help & Wiki Twitter
Private Messages Chat Ideas Published Followers Following Priority Support Public Profile Profile Settings Account and Billing Sign Out