Here is a fairly high Reward:Risk trade set up for next week.
GBPUSD is approaching the outer bullish trendline for a 3rd touch and this also coincides with the Fibonacci 0.618 retracement zone. This is a very simple trend continuation set up with a target price of 1.35 achieving a high reward ratio.
However! - It takes 3 touches of a trendline to confirm it. So as of now... price could break out and prove this trendline to be false. There are 2 ways you can handle this information.
1) Go for it anyway and accept the risk in return for the reward.
2) Wait for a confirmed bounce off the trendline, wait for the bearish CTL to be broken and then go long to 1.35 which should still provide a good R:R ratio anyway.
Enjoy :)
GBPUSD is approaching the outer bullish trendline for a 3rd touch and this also coincides with the Fibonacci 0.618 retracement zone. This is a very simple trend continuation set up with a target price of 1.35 achieving a high reward ratio.
However! - It takes 3 touches of a trendline to confirm it. So as of now... price could break out and prove this trendline to be false. There are 2 ways you can handle this information.
1) Go for it anyway and accept the risk in return for the reward.
2) Wait for a confirmed bounce off the trendline, wait for the bearish CTL to be broken and then go long to 1.35 which should still provide a good R:R ratio anyway.
Enjoy :)
Note
I will be watching this FX pair on market open for any gaps. Potential for a good long entry if price touches and rejects the trendline.Trade active
Entered on the gap down... I have added this entry as a separate trade set up.Note
Over half way to target profit nowNote
Still holding out for 1.35 ideally
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.
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.