We have GBPJPY on the 1hr chart we have a break of structure (BOS) around the level of 164.752 making it a great for us to have the supply area around the level of 165.100 since that's from the red candlestick broke the structure. Meaning we clearly see a zone that hasn't been retested.
For the support I took in consideration the point where we see it gets rejected which would be around the level 163.00. We ended the week with an engulfing green candlestick that closed at the level of163.400.
I personally like setting my SL right under that lowest wick giving it enough space just in case it wants to pick up more orders from the lower level. On this trade I will be looking for a 2.5 risk/reward, I will be looking for around 1400 pips which is all the way until the supply area and for my SL I have it at 500 pips just around the lowest wick.
And just as another indicator we also have the MACD which is telling us the sellers are losing momentum confirming us that we have the buy opportunity.
For the support I took in consideration the point where we see it gets rejected which would be around the level 163.00. We ended the week with an engulfing green candlestick that closed at the level of163.400.
I personally like setting my SL right under that lowest wick giving it enough space just in case it wants to pick up more orders from the lower level. On this trade I will be looking for a 2.5 risk/reward, I will be looking for around 1400 pips which is all the way until the supply area and for my SL I have it at 500 pips just around the lowest wick.
And just as another indicator we also have the MACD which is telling us the sellers are losing momentum confirming us that we have the buy opportunity.
It did go a little down a the beginning but that's why we set are SL under the lowest wick preventing it from taking us out of the trade.
One more successful trade and this is just the beginning of the week!!!!!!!