I opened a short position yesterday at the price of 147.50.
Currently the price is 146.18. The price has dropped quite a bit but I think it still has a good short entry opportunity with a reasonable risk reward.
Reasons for short trade:
The price has reached the major support level around 149 on the 22nd April. Since then, the price has moved up to the fair value gap area between 149.2 and 148.2 (blue rectangular box), and also the order block.
That area is also the Fib 0786 area. I look at Fib 0.786 as the last line of defence and it is usually a hard line to break.
The price hit the area and started to move to the downside. Momentum indicators are still in the bull territory but the lines have crossed and clearly moving to the downside.
My macro bias for USD is bearish and the current price set up support my bias. The risk reward is good enough for me to enter.
My trade set up:
Entry: 147.51Stop: 148.95Target: 142.478 (Fib 0.236)
Risk:Reward= 1:3.5
Currently the price is 146.17. It just broked below Fib 0.618. Entry now can give you 1:1.5 risk reward.
Currently the price is 146.18. The price has dropped quite a bit but I think it still has a good short entry opportunity with a reasonable risk reward.
Reasons for short trade:
The price has reached the major support level around 149 on the 22nd April. Since then, the price has moved up to the fair value gap area between 149.2 and 148.2 (blue rectangular box), and also the order block.
That area is also the Fib 0786 area. I look at Fib 0.786 as the last line of defence and it is usually a hard line to break.
The price hit the area and started to move to the downside. Momentum indicators are still in the bull territory but the lines have crossed and clearly moving to the downside.
My macro bias for USD is bearish and the current price set up support my bias. The risk reward is good enough for me to enter.
My trade set up:
Entry: 147.51Stop: 148.95Target: 142.478 (Fib 0.236)
Risk:Reward= 1:3.5
Currently the price is 146.17. It just broked below Fib 0.618. Entry now can give you 1:1.5 risk reward.
Trade closed: target reached
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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.