Yesterday there was a test of resistance and long and clear Pin Bar showed up on the daily chart. If you set sell limit order on 50% retracement of it, Stop Loss will be 100 pips and Take Profit 500 pips. Of course in the middle of it half of the position will be closed and the rest will be secured at BE.
If you are interested in Price Action Strategy description, you can read it here.
Finally there is test of support on GBPCHF. Trend is without doubt bullish and the same is momentum, so we can look for long signals on H4 chart. We can see Inside Bar created. There are two scenarios:
- Break and close of the candle above. Then I will set buy limit order on 50% retracement of signal candle and LS below it. TAKE Profit will be last maximum.
- Break below and return to the range of mother’s candle (marked green on the screen). After close of the candle I will open buy order on the market price and set Stop Loss below it minimum.
Sell signal on this pair. Yesterday there was a test of strong resistance, it was rejected quite clearly. It is correct sell signal and I set sell limit order on 50% retracement of mentioned Pin Bar candle. SL is 60 pips and Take Profit is 300 pips.
YOU CAN START USING PRICE ACTION AND INVEST ON FOREX MARKET USING FREE XM BROKER ACCOUNT.
Another test of support on this pair. Trend is still bullish so we can consider opening long position after showing of buy signal on H4 chart.