GBP/JPY to sell, (if the price breaks the stop loss then to buy)
The entry price is 155.650, Stop loss is 155.850, 1st profit target is 155.400, 2nd profit target is 155.250.
We have 3 trading plans.
1. Wait for the price to reach the entry price and do a sell order. If the price keeps going up to the stop loss, see if the price breaks the Stop loss effectively. If so, close all sell orders, if not then open a new sell order and wait for the price to drop to the 1st profit target or 2nd profit target or a lower price level to close the sell orders.
2. If the price goes down to the 1st profit target before reaching the entry price, open a buy order. If the price keeps going down to the 2nd profit target, see if the price breaks the 2nd profit target effectively, if so close all the buy orders. If not, open a new buy order and wait for the price to go up to the entry price level to close the buy orders.
3(if the price breaks the stop loss then to buy)
If the price goes up and breaks the stop loss effectively, close all the sell orders and open a buy order. The Stop loss for this buy order is the entry price level and the profit target for this buy order is 1-2 times the gap between the stop loss and the entry price from the stop loss upwards.
The entry price is 155.650, Stop loss is 155.850, 1st profit target is 155.400, 2nd profit target is 155.250.
We have 3 trading plans.
1. Wait for the price to reach the entry price and do a sell order. If the price keeps going up to the stop loss, see if the price breaks the Stop loss effectively. If so, close all sell orders, if not then open a new sell order and wait for the price to drop to the 1st profit target or 2nd profit target or a lower price level to close the sell orders.
2. If the price goes down to the 1st profit target before reaching the entry price, open a buy order. If the price keeps going down to the 2nd profit target, see if the price breaks the 2nd profit target effectively, if so close all the buy orders. If not, open a new buy order and wait for the price to go up to the entry price level to close the buy orders.
3(if the price breaks the stop loss then to buy)
If the price goes up and breaks the stop loss effectively, close all the sell orders and open a buy order. The Stop loss for this buy order is the entry price level and the profit target for this buy order is 1-2 times the gap between the stop loss and the entry price from the stop loss upwards.
Trade closed: target reached:
Strategy 2 reached with last night's price movement:
16:50 pm: Price dropped near 155.400, triggering buy action
20:00 pm: Price reaching 155.650, triggering sell action
Taking a total profit of 25 pip
16:50 pm: Price dropped near 155.400, triggering buy action
20:00 pm: Price reaching 155.650, triggering sell action
Taking a total profit of 25 pip