This was sample trade that can be taken on 4 Aug 2021
Pre Analysis:-
Correlation:- NZDUSD (11 / 2) NZD better strength than USD
Market State: price traded under buyer's territory as shown on the H1 chart
Session:- All NZD pairs broke NY session on strong sentiment
Fundamental:- NZD got strong sentiment on employment data released earlier today, while USD show weakness through ISM manufacturing PMI data on 2 Aug 2021.
Chart:-
Trade Classification: A trade
- Very decent 3.4R max trade
Entry:- Long trade, wait for pullback / digestion & enter a trade on range after that (can be taken during Frankfurt opening)
Exit:- trail for max profit
Stop: set stop below recent low in this case can be 10 pips
Post Analysis:-
- Correlation good, market state good, session breaks help & fundamental also support this trade.
My actual trade:-
Entry:- (buy) 0.70760 (0.65 lot) 6:15pm
Stop:- 0.70610
Exit:- 0.70698 7:06pm (scratch the trade at 7 pips instead of 15 pips stop)
Loss:- $40.30
- My trade shown on chart above
- My entry not good, after price surge up during Frankfurt / London session it start to pullback again.
- Reading on pullback very important, the better entry shown below
- Always wait for range to develop before entry (entry only inside of that range)
- Range develop after digestion remember that!
- Although this trade will not give profit, but you can see trade can scratch after initially surge up by move the stop to break even
- Stop move to break even as we wait for another important news for USD in this case ISM services PMI.