T2 – CHF/NZD

ENTRY

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Daily // 4H // 1H // 30mins

Analysis

Support & Resistance // Trend Lines & Channels // 21&50 Moving Averages // Elliot Waves // Multiple Timeframe Reference // Fibonacci Levels

get context for the set-up

The weekly showed that the downtrend is over with a clean break of the TL and also after bouncing off a key level. Bullish rectangle should be Wave 2 and currently trying to catch Wave 3. Managing downside is important as Wave 4 might possibly be a steep pullback.

Criteria

TREND on entry timeframe determined by 21&50 SMA if subjective (✓)

ADX>25 registered on impulse wave (✓) ADX30

Low volatility when keying order Area of value (✓)

Continuation/Correction/Consolidation/Coil Structure

Flag // Pennant // Wedge // Triangle // Rectangle

Simple Retracement [Fibonacci 50% // S&R Zone // 2150 TAZ]

Falling Rising Wedge // Complexed ABC pullback

Higher Timeframe Inside Bar

Orders

Entry @ Break of Structure // Area of Value + Candlesticks

Stop Loss @ +1ATR away from last wick // 50 SMA as guide

Take Profit @ Length of Prior Impulse // Next Area of Value

1% capital risked for potentially 2R

Open: 1.472 | Stop loss: 1.446 (-260 points) | Take Profit: 1.524 (+520 points)

Remarks: There was an inside bar on the weekly when the trade was keyed in, not anymore now obviously. But the point is the same. A small correction in a major breakout, an opportunity for entry.

A bit late, the bullish rectangle would have been more ideal. Entering on the second chance after a small retracement at the start of the break out which should be Wave 3.

MANAGEMENT

Risk Halved

Shift to Break Even

Securing xR

EXIT

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Initial Stop Loss

Manual. Reason:

Trailing Stop

Take Profit

Remarks: Stopped out, even though idea was valid. Was not a good entry to start off with. Stop loss had no balance of having a proper buffer and being tight enough for R-performance to be favourable. In the future, avoid such trades.

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