There is a 2618 trade on EURJPY with price sitting right at the entry point. This is a countertrend trading setup in which we are looking for the market to move down again to below 120.00.
Entry: 122.550
Stop loss: 124.200
Target 1: 120.600
Target 2: 119.680
Our stop is placed above the high of the double top because at that point the probability of the trade being a winner is far outweighed by the potential losses incurred if the market continues moving up.
If price moves down to 120.600, I will close half the position for profit and move the stop loss to my entry price. The remaining position will either be stopped out for 0 pips or continue down to the second target.
Luke
Entry: 122.550
Stop loss: 124.200
Target 1: 120.600
Target 2: 119.680
Our stop is placed above the high of the double top because at that point the probability of the trade being a winner is far outweighed by the potential losses incurred if the market continues moving up.
If price moves down to 120.600, I will close half the position for profit and move the stop loss to my entry price. The remaining position will either be stopped out for 0 pips or continue down to the second target.
Luke