T8 – EUR/GBP

ENTRY

IDEA (D)

formulate a trade idea – your analysis, a likely possibility // set-up play out

download (2).pngPrice is trading within a range on a weekly uptrend. No signs of bouncing of the first resistance and still showing strength with a good possibility of retesting the higher resistance – and opportunity for a short term swing trade.

SETUP (4H)

trigger for the mentioned idea, what you want to see: clean impulse + choppy correction

download (3).pngThe triangle signals that this might be the last leg in this uptrend – will be conservative with the take profit target.

TREND on entry timeframe & 4H chart, determined by SMA if subjective (✓)

IMPULSE registering ADX>25 (✓) ADX40

COIL structure clear formation relative to prior impulse (✓)

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

Fibonacci 50%–61.8% // S&R Level // Trend Line // Moving Average

Simple // ABC // ABCDE // Extended Combo

ORDER

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

Stop Loss @ +1ATR away from last wick // Before Impulse Start

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

1% capital risked for potentially 1.4R

Entry: 0.8848 | Stop loss: 0.8744 (-100 points) | Take Profit: 0.8988 (+140 points)

 

This shall be the last trade going long on the Euro (T3, T6, T7 and the previous EUR/CHF). The pairs are not correlated according to Mataf, therefore, not breaking any risk management rules. T3 EURUSD has been shifted to breakeven. Now it’s time to let the market do what it does and not fiddle with anything.

MANAGEMENT

download (9).pngIf running >1R + swing established, risk halved // daily chart shows limited upside, price shouldn’t be going back into the range, this should be a retest of the breakout point. Arguable that the buy set-up has played out.

If 20% left to take profit, shift to break even

If strong momentum + space to run + aligned with long term view, extend take profit and use trailing stop

EXIT

download (2)download (3)

Stop Loss

Manual. Reason:

Trailing Stop

Take Profit

Remarks: After the sell setup (3 candles continuation) that occured after the trade played out (length of prior impulse), should have exited at market or at least shift to breakeven. Especially since it’s at a HTF daily resistance and the triangle pattern (continuation and last leg in a trend).

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