The Eur/Usd has moved up a large amount and the buying momentum has been increasing. However this pair is still in a long term down trend so the bigger a bounce we get the better opportunity for a tremendous short trade will be.
Look at the daily chart
So you can see we are getting into potential short territory.
The 1hr chart give more detail because it reveals an ascending triangle pattern forming. Look at the chart below.
How I intend to trade this is to watch the pair continue to rise until we get a 1hr downward candle. At that point I intend to enter the trade short because of the resistance area we are facing on the daily chart. If you follow me on twitter I will post the trade as I take it.
My trade yesterday ended at a -34 pips I had two losers in a row but this journal is so good so that I can review all my entries. I think I executed the trade well, the price just didnt work my way. that happens and it is ok. As long as I maintained discipline and stuck with my plan.
Thanks and as always your feedback is needed and welcomed.
Winner’s Edge Trading, as seen on: