I am very new to forex and have been following signals and trying to learn for a while. This is a position I am merely considering so any constructive feedback is welcome!
Basically I am using a round numbers based strategy and seeing that EURUSD has been hovering in the 1.1300 to 1.1400 channel for a while, it now appears to be breaking out of that channel and going long. From what I can see it's tested the 1.1400 area a few times and we've now seen it leave that area of resistance behind by a reasonable degree, enough to think it might not retract.
I've placed a stop loss 10 pips below the low of the last candle there, and I am waiting for price to move 5 pips in my direction before entering, so entry would be 5 pips above the closing candle.
The take profit level has then been based off of a 1:2 risk to reward ratio, and falls well below the next resistance level of 1.1500.
Please go easy as this is my first try! Thanks :)
Basically I am using a round numbers based strategy and seeing that EURUSD has been hovering in the 1.1300 to 1.1400 channel for a while, it now appears to be breaking out of that channel and going long. From what I can see it's tested the 1.1400 area a few times and we've now seen it leave that area of resistance behind by a reasonable degree, enough to think it might not retract.
I've placed a stop loss 10 pips below the low of the last candle there, and I am waiting for price to move 5 pips in my direction before entering, so entry would be 5 pips above the closing candle.
The take profit level has then been based off of a 1:2 risk to reward ratio, and falls well below the next resistance level of 1.1500.
Please go easy as this is my first try! Thanks :)