T5 – AUD/JPY

HTF SWING

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ENTRY

Weekly/Daily/4H/1H/30mins timeframes (select 2)

[1] Ensure that price is range bound/strongly respecting S/R on the higher timeframe (✓)

[2] Go down to the lower timeframe and identify the accumulation/distribution/swing point (✓)

[3] Plot out ST-TL and LT-TL confirmed by the 30SMA and 150SMA. As price is range bound, will be looking for the existing ST trend to reverse. (✓)

[4] Price breaks and closes the ST-TL and 30SMA (✓)

[5] Stop order at the break of the accumulation/distribution structure (✓) Mini wedge/Correction

Additional confluences: Head & Shoulders, Support/Resistance on the lower timeframe, Fibonacci Retracement 50%, Candlestick Patterns on the higher timeframe – Bearish Engulfing

1% capital risked for potentially 1.5R

Open: 84.94 | Stop loss: 85.56 (-62 points) | Take Profit: 84 (+94 points)

Remarks:

MANAGEMENT

At entry, stop loss placed under/above the lowest/highest point of the support or resistance on the higher timeframe.

Use volatility stop if necessary.

Take profit placed before the support or resistance that makes up the range.

At 50% of the range, LT-TL or 150SMA – shift stop to breakeven.

At 80% of the range, shift stop to 50% mark or below/above swing L/H.

If price breaks and closes past the 30SMA on HTF or 150SMA on LTF, tighten stop loss and prepare for manual exit.

EXIT

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[1] Initial stop loss

[2] Trailing stop, as mentioned under management

[3] Manual exit due to change of momentum and break of market structure

[4] Take profit

Remarks: Rather premature, idea is still valid. Clearly entered too early. Will consider entry as DNF.

EXIT

download (7).pngEarly entry. Good idea, bad execution.

REVIEW

FadingBulls1.pngThere you have it, your Take Profit hit without you in it.

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