Japan225 Daily Short: Targeting Downside After 0.7 Fib Retraceme
Updated
This trade is based on the daily chart of Japan225, where the price has recently retraced to the 0.7 Fibonacci level, presenting a potential opportunity for a downside move. The current market structure indicates a possible reversal from the recent highs, with a key resistance area marked by the red zone on the chart.
Key Levels:
• Entry: The trade is entered near the 0.7 Fib retracement level, capitalizing on the potential for a pullback.
• Target: The target is set at the lower green zone, aligning with a previous support level where buyers may re-enter the market.
• Stop-Loss: A stop-loss is placed above the recent high, as indicated by the upper red zone, to manage risk if the price continues to climb.
Rationale:
The Japan225 has shown a significant retracement up to the 0.7 Fibonacci level, which often acts as a strong resistance area. The daily timeframe provides a broader perspective, suggesting that the price may now face downward pressure. This setup seeks to capitalize on the expected reversal, aiming for a move lower in the upcoming sessions.
Risk Management:
With a clearly defined stop-loss and a favorable risk-to-reward ratio, this trade minimizes risk while allowing for substantial downside potential. As always, adjustments will be made based on market behavior.
Note: Please remember to adjust this trade idea according to your individual trading conditions, including position size, broker-specific price variations, and any relevant external factors. Every trader’s situation is unique, so it’s crucial to tailor your approach to your own risk tolerance and market environment.
Key Levels:
• Entry: The trade is entered near the 0.7 Fib retracement level, capitalizing on the potential for a pullback.
• Target: The target is set at the lower green zone, aligning with a previous support level where buyers may re-enter the market.
• Stop-Loss: A stop-loss is placed above the recent high, as indicated by the upper red zone, to manage risk if the price continues to climb.
Rationale:
The Japan225 has shown a significant retracement up to the 0.7 Fibonacci level, which often acts as a strong resistance area. The daily timeframe provides a broader perspective, suggesting that the price may now face downward pressure. This setup seeks to capitalize on the expected reversal, aiming for a move lower in the upcoming sessions.
Risk Management:
With a clearly defined stop-loss and a favorable risk-to-reward ratio, this trade minimizes risk while allowing for substantial downside potential. As always, adjustments will be made based on market behavior.
Note: Please remember to adjust this trade idea according to your individual trading conditions, including position size, broker-specific price variations, and any relevant external factors. Every trader’s situation is unique, so it’s crucial to tailor your approach to your own risk tolerance and market environment.
Trade active
We are currently 4% in profit on this trade. Now is a good time to take some partial profits and adjust our stop-loss to secure a risk-free position. With high-impact news expected throughout the week, culminating on Friday, we may see further developments that could influence the downtrend. Let’s continue to manage the trade carefully and adapt as needed.Trade active
Our trade is now sitting at a 7% profit. It’s time to adjust accordingly: take most of your profits, leaving only a small percentage of the position running. Move your stop-loss to break even (BE) to secure a risk-free trade. Enjoy the benefits of a well-managed position!Trade closed: target reached
We have taken most of the profits on the Japan 225 trade, leaving only 20% running with a remaining target of 1.5%. The recent news has driven the price in our favor, making this a successful trade. Great job, everyone! Enjoy the profits, and have a relaxing and joyful weekend. Stay professional and keep up the good work!
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