Day Trading With Fibonacci Extension (Buy)
Set up on USDCAD 15 minute chart with fib retracement extension tool:
1) Right Pair? Yes- USDCAD
2) Right Price? Yes, Enter at 1.20400 with stop at 1.20300 (10 pips)
3) Right Session? Yes, end of London beginning of London/New York session overlap. This is in the highest liquidity and volume times daily of trading Forex, which is from 10 pm to 10 am PST/USD time or from Tokyo end to London end.
4) Right Time? Yes, both USD and CAD are trading during New York session and London/New York overlapping session .
Using a Fib retracement and/or Fib retracement extension is great for setting targets, depending how deep initial retracement or reversal goes back into break out zone.
This set up would have been a great trade: 1:3.5 Risk/Reward setup or (10 pips/35 pips). Have patience and let trade work. You can only control when you enter and exit a trade- rest is up to price action.
1) Right Pair? Yes- USDCAD
2) Right Price? Yes, Enter at 1.20400 with stop at 1.20300 (10 pips)
3) Right Session? Yes, end of London beginning of London/New York session overlap. This is in the highest liquidity and volume times daily of trading Forex, which is from 10 pm to 10 am PST/USD time or from Tokyo end to London end.
4) Right Time? Yes, both USD and CAD are trading during New York session and London/New York overlapping session .
Using a Fib retracement and/or Fib retracement extension is great for setting targets, depending how deep initial retracement or reversal goes back into break out zone.
This set up would have been a great trade: 1:3.5 Risk/Reward setup or (10 pips/35 pips). Have patience and let trade work. You can only control when you enter and exit a trade- rest is up to price action.