Oil Ascending Channel Long Position
Entry: $51.69
TP & RR: $52.87 (1.59)
Stop Loss: $50.95
REASONS FOR THE TRADE
After breaking up at the ascending triangle, Oil has now formed an ascending triangle, testing the lower trendline. If it holds I believe that it will make a higher high and potentially trying to test the upper trendline or at the very least do a double top.
My Stop Loss is very conservative here because there may be a fakeout and I don't want to get stopped out (my USDJPY trade is still haunting me I guess). As I am writing this I can see that the price is already going up, so I hope a small pullback will give me the entry I want, after which I will start trailing my SL.
Entry: $51.69
TP & RR: $52.87 (1.59)
Stop Loss: $50.95
REASONS FOR THE TRADE
After breaking up at the ascending triangle, Oil has now formed an ascending triangle, testing the lower trendline. If it holds I believe that it will make a higher high and potentially trying to test the upper trendline or at the very least do a double top.
My Stop Loss is very conservative here because there may be a fakeout and I don't want to get stopped out (my USDJPY trade is still haunting me I guess). As I am writing this I can see that the price is already going up, so I hope a small pullback will give me the entry I want, after which I will start trailing my SL.
Trade closed manually:
I've manually closed my trade here since I am not seeing what I was expecting. I was looking for a clean wick and then for the price to start trending up. I don't want too much action around the trendline, because this would indicate weakness of the bulls and this may be followed by a sharp drop.
I am willing to reopen the position and obviously pay a higher price if I see some strength.
I am willing to reopen the position and obviously pay a higher price if I see some strength.
Trade active:
Update: Limit Buy set at $51.82 and Stop Loss moved up to $51.42.Much more favorable Risk: Reward if we get filled.
Trade closed manually:
I've manually closed the trade. However, this is not a suggestion for you to do the same. I just have a bad experience with price sliding up a trendline, so I decided not to take the risk. If you are trialing a Stop Loss, then you are already locking in profits.
From a technical standpoint, nothing specifically indicates weakness and I believe the price will do at least double top, retrace a bit and continue to the upper channel (provided this continues to be a valid setup).
I am looking for a new entry and will post this as a new idea.
From a technical standpoint, nothing specifically indicates weakness and I believe the price will do at least double top, retrace a bit and continue to the upper channel (provided this continues to be a valid setup).
I am looking for a new entry and will post this as a new idea.