EURGBP: Buying Opportunity
What do you think about such a long trade from EURGBP?
There are following reasons for buying:
- the price is moving in the bullish trend
- there is a correction movement
- the price reached the support zone formed by SMAs and the trend line
- MACD histogram confirmed the price reversal
- RSI is going to confirm the price reversal
- DMI does not confirm the strength of sellers
It looks like we have a good buying opportunity, and we can join the uptrend at the right point and time.
A possible entry point can be above the signal candle. Stop orders must be placed below the local swing low and the support. Profit targets can be based on the round number and the previous swing high.
But, it is Forex where we should not expect stable trends. The daily chart doesn't look solid for buyers and there is a space for the pullback. If the price breaks SMA200, it will be a possible selling opportunity after retesting a new resistance zone formed by SMAs and the broken uptrend line. Stop orders must be placed above the local swing high. Profit targets can be at round numbers.
Risk per trade must be no more than 1-2% from the trading capital.
P.S. as I don't use like-bots and other solutions that show great "interest" to my posts, I will be grateful if you support my work by your LIKEs and comment. Of course, if you can do it. The feedback from REAL people is priceless!
Disclaimer!
This post does not provide financial advice. It is for educational purposes only! You can use the information from the post to make your own trading plan for the market. But you must do your own research and use it as the priority. Trading is risky, and it is not suitable for everyone. Only you can be responsible for your trading.
There are following reasons for buying:
- the price is moving in the bullish trend
- there is a correction movement
- the price reached the support zone formed by SMAs and the trend line
- MACD histogram confirmed the price reversal
- RSI is going to confirm the price reversal
- DMI does not confirm the strength of sellers
It looks like we have a good buying opportunity, and we can join the uptrend at the right point and time.
A possible entry point can be above the signal candle. Stop orders must be placed below the local swing low and the support. Profit targets can be based on the round number and the previous swing high.
But, it is Forex where we should not expect stable trends. The daily chart doesn't look solid for buyers and there is a space for the pullback. If the price breaks SMA200, it will be a possible selling opportunity after retesting a new resistance zone formed by SMAs and the broken uptrend line. Stop orders must be placed above the local swing high. Profit targets can be at round numbers.
Risk per trade must be no more than 1-2% from the trading capital.
P.S. as I don't use like-bots and other solutions that show great "interest" to my posts, I will be grateful if you support my work by your LIKEs and comment. Of course, if you can do it. The feedback from REAL people is priceless!
Disclaimer!
This post does not provide financial advice. It is for educational purposes only! You can use the information from the post to make your own trading plan for the market. But you must do your own research and use it as the priority. Trading is risky, and it is not suitable for everyone. Only you can be responsible for your trading.
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