Quote:
Originally Posted by paulsimon
Hey Brad,
Firstly,Great Work!! Thanks for all the time and effort you put into your posts and charts. Your knowledge of candlestick's is really impressive and Ive been learning a lot from your posts.
I have some doubts regarding your latest Eur/Aud trade.
1) I placed a stop at 1.8890 below the most recent low. Do you think it is a good stop level ?
2)In such exotic crosses what other pairs affect their movement?
3)How long do you assume it will take to reach new highs? And how to take profits, do you trail your stops?
Thanks for your help.
Paul
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Hi Paul... Looks like you've been a silent reader until now
Glad you have been making use of my analysis
I have no doubt about this long position in EURAUD Those candles look pretty good to me... Especially meeting up with the 20 DAY Moving Average at the same time.. I think a stop at 1.8954 (20 Pips Below Yesterday's Low of 1.8974) would be just fine, I don't think price will get past there, but if does I don't think it will get past the major bottom at 1.8890 after ... I assume it will take a few weeks to a month to reach a new high and I also think it's got the ability to travel much higher after... I think the best way to trade this is to go long now with a target on half the position at the previous high of 2.1115 and manually trail a stop on the other half of the position leaving it plenty of room to bounce around on the ascent.
As for what affects these pairs.. Who cares ! It's all in the chart... It's An Easily Defined Up Trend At A Pull Back To The 20 Day Moving Average On The Daily Daily Chart With A Confirmed Candlestick Reversal Visible On The Chart... That's Bullish Enough For Me
