We had initially placed a sell in the downward channel shown at the start of the week - hit Tp1 then the rest of the trades got stopped out at breakeven / tiny profit
NZD is now showing strength and has rejected price at a level that would have made it fall back within the channel (previous 4hr candle)
I am in this trade however set it a while ago and forgot about it!!!!
Fairly standard play - price bouncing off support, testing a fib level, USD has been mixed and CAD has been strong so I have adjusted the SL to give a high RRR / low loss
So, JPY is getting hammered today and the Pound is having a solid day so far.
The pair is fast approaching a key zone of Resistance (139.250 area)
As per the chart, price has been rejected from this area multiple times (which would suggest a short) - but as the saying goes 'triple tops rarely hold'
I feel it is a little too early to say what this...
DISCLAIMER - I am a rookie with chart patterns so feedback is appreciated! :)
Daily Timeframe -
On the chart we can see an Ascending Triangle Pattern (i think?) with higher lows coming in to an area of resistance. The higher lows follow a fairly well established trend line
1hr / 4hr - we are not going to be making this trade blind! - We will see how the...
We are waiting to short NAS100
Taking a short at suggested entry will give;
Triple Top confirmation
High RRR (over 6.25)
Other factors in play;
Growing US-Sino tension (Tiktok situation / South China Sea / Chinese Journalists being forced out of America with China threatening retaliation)
Coronavirus is out of control in US
We are looking for another trend line touch, which will also give a triple top on 4hr time frame
RRR of 1:3 is quite possible.
However - if we do reach target within 36hrs we will then be looking for longs based on Unemployment data coming from NZD tomorrow evening (a little speculative - but again, if a tight stoploss is in place it is worth it).
Price has completed a Full Fib retracement - and so the upward trend can resume
Price creating higher highs and higher lows on the 1hr timeframe
NOTE TP1 = 75.433 = 1:1 RRR
TP2 as per Long position on chart = 75.880 area = 2.69 RRR
USDCAD Short -
Indecision on 1hr time frame as highlighted
Over Extended Rally
Rally close to Fib Level .382
Taking a medium short @134.210
Short order set at @ 134.355
I wont lie - taken some inspiration from Gwave here (credit where credit is due)
But, I am looking at this from a shorter time horizon - this trade fits nicely into a basic Support / Resistance Strategy - and so a good RR is offered.
I will be watching closely for how price acts when it is in the area highlighted - this will give price action confirmation that...
Rally seems to be over extended and now its looking for a pull back
We got wicked into the short which is always good.
Triple top formed and price seems to be struggling to break resistance @ 1.27700
Dollar seems to be finding a little strength across multiple currencys right now + Brexit news could weaken the £
A good RR offered of 4.41
Huge momentum in the market today
As per my previous post we were waiting for a short but the momentum is not with us there.
We have taken a bit of a scalp trade long but will be either be looking to take profit quickly or make it a risk free trade and see where the market takes us (but likely get stopped out at breakeven)