How I took this trade
I found this setup while strolling on the EURCHF chart. I saw it was consolidating between 0.97600 (resistance) and 0.97230 (support).
Based on this, I drew a consolidation zone and waited for a fakeout, which happened before the market closed on Friday. It had a little fakeout of around 1-2 candlesticks on the 1H chart.
From this little fakeout, it moved back to the zone, touched it, and then a bearish trend continued, as the fakeout suggested.
When I entered and exited my position
I entered my position when I saw that the bearish trend continued after it retraced to the zone. From there on, I held it till 0.97099, sold 50% of my position, and then sold the other 50% at 0.97074.
Question for the readers: how can I hold this trade longer (see where it went), and where do I take my profit?
Jasper
I found this setup while strolling on the EURCHF chart. I saw it was consolidating between 0.97600 (resistance) and 0.97230 (support).
Based on this, I drew a consolidation zone and waited for a fakeout, which happened before the market closed on Friday. It had a little fakeout of around 1-2 candlesticks on the 1H chart.
From this little fakeout, it moved back to the zone, touched it, and then a bearish trend continued, as the fakeout suggested.
When I entered and exited my position
I entered my position when I saw that the bearish trend continued after it retraced to the zone. From there on, I held it till 0.97099, sold 50% of my position, and then sold the other 50% at 0.97074.
Question for the readers: how can I hold this trade longer (see where it went), and where do I take my profit?
Jasper