T13 – NZD/CHF

ENTRY

IDEA (D)

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

T13NZDCHFdaily.pngPrice has bounced off a resistance area which was a former support, the level is also 0.618 of the prior impulse. Clear price rejection with the long wicks and massive bearish engulfing. A double top pattern has also formed on the 4H.

SETUP (4H)

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

T13NZDCHF4h.pngRTDTSD set-up is an exception – trend is arguably down with the AB=CD upward channel broken + a double top at an area of resistance gives value and a sell signal. RTDTSD (rounding top double top spike down) is a pattern that has happened many times in the past, notably on AUD/USD and SILVER.

Stop sell order triggered with stop loss above the wick where the level was rejected.

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

IMPULSE registering ADX>25 (✓) ADX28 on daily timeframe

COIL structure clear formation relative to prior impulse (✓) Pullback in the form of broken upward AB=CD channel

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 2.8R

Entry: 0.7054 | Stop loss: 0.716 (-106 points) | Take Profit: 0.6747 (+307 points)

MANAGEMENT

If running >1R + swing established, risk halved

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 (7).png

Stop Loss

Manual. Reason: Looks like the winner of the bull/bear battle has emerged. Closed the trade as structure has changed.

Trailing Stop

Take Profit

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