Cypher long, waiting for a better risk to reward
Reading the chart
After the 1.272% extension of X-A being capped by the channel, the cypher completion should be around 1.2989.
However, the bottom of the channel is a little bit lower and aligns with a monthly/yearly support.
So I'm looking for a PRZ between 1.2989 and 1.2931. With that said the risks of this Cypher setup can be lower than it normally would have.
Caution
This trade covers a lot of pips. So position yourself wisely.
Setup
entry: between 1.2989 and 1.2931
stoploss: 1.2800
target 1: 1.3140
target 2: 1.3256
bonus target 3: 1.3640 (longer term long position)
After the 1.272% extension of X-A being capped by the channel, the cypher completion should be around 1.2989.
However, the bottom of the channel is a little bit lower and aligns with a monthly/yearly support.
So I'm looking for a PRZ between 1.2989 and 1.2931. With that said the risks of this Cypher setup can be lower than it normally would have.
Caution
This trade covers a lot of pips. So position yourself wisely.
Setup
entry: between 1.2989 and 1.2931
stoploss: 1.2800
target 1: 1.3140
target 2: 1.3256
bonus target 3: 1.3640 (longer term long position)
Comment:
You could eliminate a lot of risk by entering this trade with a crab long on the 1H chart. If you take the risk of the crab, but the targets of the cypher, then you're looking at risk-to-rewards of 1:5 and 1:8
