GBPUSD has put in a Double Bottom at Daily Support. RSI went Oversold on the 1st Test. On the 2nd Test the RSI was showing Bullish Divergence. Zoom in on a Lower Time Frame once Price reaches the Entry Zone and look for some sort of Reversal Pattern Such as a Hammer Candlestick, Doji, 3 Bar Reversal, etc... Stops go either 1 ATR or 10 Pips below the Double Bottom. Target #1 is a retest of the last High and Target #2 is another Important Level on this Pair. This trade hits about 55%-60% so plan accordingly.. Not the highest probability trade so make sure you get good Risk to Reward (Better than 1 to 1).
Comment:
Guys.. Side Note as Alexander has pointed out.. My double bottoms/tops rule are: The 2nd Test (wick or candle) needs to reach the close of the 1st test BUT NOT close below the 1st test. My personal data feed and TradingView Data differ and on my personal Data the Double Bottom is Valid (Not valid on TradingView data). So trade what you see on your own personal chart and data feed. Best of Luck guys.
Comment:
Target #1 Hit. Stops are at Breakeven and holding for Target #2's
Trade closed: target reached:
Target #1 was hit and Stops for the 2nd half went to Breakeven. The 2nd half of the position was stopped at Breakeven.