This is purely technical trade, EURCAD long
- This is base on technical analysis trade.
- Price under buyer's territory, the pullback that came down is for buy.
- Study of sellers from series of lower low until it reach previous breach area.
- Then price show no lower low and form a V formation and wait for test that holding.
Entry:-
- I dissect the entry timeframe to M15 & M3.
- I decided to use session break on NY to time my entry.
- Pullback as seen in M3 timeframe is after price broke NY session.
- I read the pullback / digestion & finally the range appear around NY session opening.
- Stop set at much wider as the is important news pending for CAD (GDP news). This to ensure I able to scratch trade without full risk in case trade not working.
Entry:- 1.48976 (8:23pm)
Lot Size:- 0.38
Stop:- 1.48646 (33 pips)
Risk:- 1% ($100)
Exit:- 1R profit / previous swing high @ 1.49259
Post Analysis:-
- Trade ended with $73.17 profit (0.73R)
- TP ideally at previous swing high & the stop should be set at potential 1R profit.
- Trade base on technical only.
- Alternative entry can be around test price after V formation and this will give higher RR ratio.
- Preparation all good, timing also good but need improvement on exiting the trade.
- If preparation at level of pro trader, this trade can possibly go to 2R profit.
- In my opinion ideal entry point should be at the test after V formation.
