T21 – SGD/JPY

ENTRY

IDEA (W)

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

download (9)This could be a setup within a setup from the weekly/daily to the 4H (which is seen here as multiple inside bars)download (10)The setup that this trade is based on – an impulse on the daily followed by a correction with a clear ABC pattern, that has played out and the uptrend it has formed currently is forming a continuation pattern and retesting the broken resistance.

SETUP (D/4H)

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

download (11).pngOn the 4H there is a setup to support the buy above. ABC has formed in the corrective structure – not a perfect one but the buy is valid albeit early as the 1H downtrend is still intact and could have bought lower for an improved risk:reward.

Was initially waiting for price to reach that identified point where the upward trend line and supporting channel of the corrective structure meets. The market will never be perfect and thus placed a buy stop order which got wicked in. Set-up is on the daily, the 4H never made the ADX power criteria. What’s important: Price is on an uptrend and is retesting a level which was previously resistance – that’s a buy signal

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

IMPULSE registering ADX>25 (✓) ADX36

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 3.8R

Entry: 81.4 | Stop loss: 79.85 (-155 points) | Take Profit: 87.3 (+590 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

Stop Loss

Manual. Reason:

Trailing Stop

Take Profit

Advertisements