Targeting 3:1 - 4:1 RRR (1.618 fib extension and possibly above), however there are few ways this trade can be played:
1) When price reaches 1:1 RRR take off 50% of position leaving STOP as it is – gives us risk free trade, and move STOP to ENTRY level once price reaches 2:1 RRR level; keep moving STOP as price gets to new RRR levels 3:1, 4:1 etc.…. letting trade run and locking profit on a way.
2) Wait for price to reach 2:1 RRR , move STOP to break even and taking 50% off the table – booking profits and at same time keeping risk free trade, moving stop as trade progresses locking more profits
3) Targeting recent @ 1.3074 (1,5:1 RRR ) – take off whole position
Personally I feel very comfortable to let trade run to almost 3:1 RRR area.
Reasons for entry:
- Recent buy signal – 07/10 – 15:00 hrs
- was in oversold area shortly before buy signal
- Price didn’t breach recent low
- / candle
Good luck and good trading!