Trade Idea:
Major Trend (Higher Timeframe):
The 1D chart indicates a general uptrend with prices making higher highs and higher lows, although recent price action shows a potential struggle to break through resistance around the 2,475-2,480 zone.
Entry Price (Point of Confluence):
Look for a potential buy entry around the 2,450-2,455 area. This region serves as a confluence of the previous resistance level, now acting as support, and a potential pullback area within the uptrend.
Stop Loss:
Place the stop loss just below the recent swing low on the 1H chart, around 2,442. This ensures that if the price breaks down further, you’ll limit your losses.
Target Price (High Liquidity Area):
Target the 2,480-2,485 area. This region aligns with the previous highs and is likely to see significant liquidity, where many traders might take profits or open new positions.
Reward-to-Risk Ratio:
With an entry around 2,450-2,455, a stop loss at 2,442, and a target of 2,480-2,485, you’re looking at a reward-to-risk ratio of approximately 2:1, depending on your exact entry and exit points.
Trailing Stop Loss:
As the price moves in your favor, you can trail your stop loss to 2,460 after the price crosses 2,470. Further, trail it to 2,468 when the price reaches 2,475 to lock in profits.
Major Trend (Higher Timeframe):
The 1D chart indicates a general uptrend with prices making higher highs and higher lows, although recent price action shows a potential struggle to break through resistance around the 2,475-2,480 zone.
Entry Price (Point of Confluence):
Look for a potential buy entry around the 2,450-2,455 area. This region serves as a confluence of the previous resistance level, now acting as support, and a potential pullback area within the uptrend.
Stop Loss:
Place the stop loss just below the recent swing low on the 1H chart, around 2,442. This ensures that if the price breaks down further, you’ll limit your losses.
Target Price (High Liquidity Area):
Target the 2,480-2,485 area. This region aligns with the previous highs and is likely to see significant liquidity, where many traders might take profits or open new positions.
Reward-to-Risk Ratio:
With an entry around 2,450-2,455, a stop loss at 2,442, and a target of 2,480-2,485, you’re looking at a reward-to-risk ratio of approximately 2:1, depending on your exact entry and exit points.
Trailing Stop Loss:
As the price moves in your favor, you can trail your stop loss to 2,460 after the price crosses 2,470. Further, trail it to 2,468 when the price reaches 2,475 to lock in profits.
Note
The rabbit has entered the trade with an initial small entry around $2455. Note
It is Friday. Do not forget to manage the trade as we approach the NY sessionTrailing Stop Loss:
As the price moves in your favor, you can trail your stop loss to 2,460 after the price crosses 2,470. Further, trail it to 2,468 when the price reaches 2,475 to lock in profits.
Note
We have closed off the trade as per our comments below.As it's Friday, markets have less volume. We are not taking further positions.
Have a good weekend!
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.