Price was ranging in a flag, and I was looking for a bullish breakout. The trading opportunity came in the form of a buy stop above the flag. Stops went below the lowest low of the flag and I was targeting 60 pips. A risk of 25 pips and a target of 60 pips gave me a decent risk/reward of 2.4. A more conservative entry would have been to wait for a retest of the flag after a breakout, but I was willing to be aggressive on this setup.
Setup played out as expected, we had a decent bullish breakout with an almost immediate retest. I think I was about 40 pips up before price reversed towards my stop loss before eventually making its way past my entry again. However, a strong bearish candle resulted in my stop loss getting triggered for a loss of 25 pips and I was down 1R.
I had a bearish bias on this pair as price had recent made a lower low. I was looking for a bearish breakout of this bullish channel and the trading opportunity came in the form of a sell stop below the channel price was ranging in. My stop loss went above the high of the channel and my target was the trendline at the bottom. A risk of 25 pips and a target of 70 pips gave me a good risk/reward of 2.8.
Price made its initial breakout before retracing towards our stop loss before reversing again and I was about 50 pips up. True to my system, I didn’t move stop loss to breakeven as I didn’t see it necessary. This is important as price retraced towards my entry. Had I moved my stop loss to breakeven, I would have been stopped out for nothing.
Concludingly, price hit my target in 1 candle. Second trade of the week ended up in a profit of 70 pips and 2.8R.
I identified a selling opportunity due to a supply zone (red box). The plan was to wait for price to enter the zone by setting an alarm on TradingView before setting a sell stop below zone. This resulted in a sub-optimal entry as I was not able to maximize my risk/reward. However, I risked getting stopped out if I set a sell limit if the zone I identified was not valid. My stop loss went above the highs and my target was back down at previous lows.
Price broke out of the zone as I had expected and triggered my sell stop. In the second and third image, I was about 20 and 32 pips up respectively. However, a strong bullish surge stopped me out for a 25 pips loss.
This was an interesting setup. I identified a selling opportunity in the orange box, which was previously a failed demand zone. I had set a sell limit at the top of the zone, with my stop loss going above the previous highs and I was targeting 50 pips. A stop loss of 30 pips and a target of 50 pips gave me a risk/reward of 1.67, which was not too impressive.
Price triggered my sell limit and consolidated around my entry before eventually hitting my target aggressively, possibly due to fundamentals. In hindsight, a more conservative entry would be a sell order at previous highs. This would have resulted in a smaller stop loss and a wider target, giving me a more impressive risk/reward ratio.
This setup resulted in a 50 pip and 1.67R winner.
This was quite a straight forward setup. Price was bouncing around in a descending triangle. Textbooks would say this pattern usually results in bearish breakouts but I was looking for a bullish breakout as price was ranging in a long term bullish channel and price had been making higher highs prior to this. I was waiting for a retest of the triangle if price broke out, before buying it up. My stop loss went below the triangle and target was the top band of the long term bullish channel. A stop loss of 25 pips and target of 50 pips gave me a decent risk/reward of 2.
Price broke out as expected, almost hit my TP before retracing towards my entry. In the second image, I was about 12 pips up. A strong bullish spike hit my target for a nice 50 pip and 2R winner.