This is the safer of two alternatives on how to trade a triangle. The clue is that you wait for it to break. Moreover, you keep patient for a retest during the first notable pullback (look for a 38.2% Fib.).
The trade gets activated on the retest, which usually allows a tight stop / loss level. Your upside target is close to the biggest distance that you saw within the triangle. All in all, you create an asymmetric risk/reward trade setup by following that.
That's the relatively safe version of trading a triangle.
Good luck on that trade idea!
The trade gets activated on the retest, which usually allows a tight stop / loss level. Your upside target is close to the biggest distance that you saw within the triangle. All in all, you create an asymmetric risk/reward trade setup by following that.
That's the relatively safe version of trading a triangle.
Good luck on that trade idea!
Note
Trade not triggered yet. It is still not dead. Check out our idea from April 22nd on a potential break of the lower contraction support.Note
This setup went dead before the trade got triggered.The lower contraction support got violated today.
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.