Long Swing Trade on GBPJPY Based On The Weekly Chart
Long Swing Trade on GBPJPY Based On The Weekly Chart
Here price is touching a support zone that has not been touched since August of last year, exactly one year ago actually. I do respect weekly zones as price tends to bounce strongly, although a lot slowly off of them. My bias will be long on this pair but I will be trading smaller lot sizes because first the price is currently farther from the entry point (previous support) as I would like and second, although my target would be previous resistance at around the 145.000 level you could never be too sure. My risk reward is about 2.5:1 on this trade but because price has been very bearish the last 4 weeks I will close half of my position after price hits the 142.500 mark which is another level on the 4 hour chart and then I will probably hedge my long position and go short. So overall my position with this pair is long, target is 145.000 for about a 300+ pip profit but will look for any kind of resistance at the 142.500 level (again a level on the 4 hour chart) before deciding again on whether to hedge short, or close my position altogether. Also, RSI is extremely oversold on the Daily chart. Thanks for reading...
Here price is touching a support zone that has not been touched since August of last year, exactly one year ago actually. I do respect weekly zones as price tends to bounce strongly, although a lot slowly off of them. My bias will be long on this pair but I will be trading smaller lot sizes because first the price is currently farther from the entry point (previous support) as I would like and second, although my target would be previous resistance at around the 145.000 level you could never be too sure. My risk reward is about 2.5:1 on this trade but because price has been very bearish the last 4 weeks I will close half of my position after price hits the 142.500 mark which is another level on the 4 hour chart and then I will probably hedge my long position and go short. So overall my position with this pair is long, target is 145.000 for about a 300+ pip profit but will look for any kind of resistance at the 142.500 level (again a level on the 4 hour chart) before deciding again on whether to hedge short, or close my position altogether. Also, RSI is extremely oversold on the Daily chart. Thanks for reading...
Comment:
I know up top it says SHORT but to clarify I meant LONG
Trade active:
Price is up 230 pips