FOREX Training Video | London Session October 21, 2008
We broke a nice little range we were in during the Moscow/Pre-London session on quite a few pairs, including the EUR/USD. While there were many more impactful opportunities about (Pound was Weeeeeak, and yens were a thing of beauty), in this video I focus on how we built a trade plan coming into London open after the move had already produced nice pips. Using drawn trend lines we recognize a flag pattern develop on the 15m chart, along with key ema & Fibonacci levels. This overlap provided a decent risk vs. reward entry setup with a max target of around 90 pips for 30 or so pip risk. We determined target by finding an overlap of the daily m1 and weekly m1 pivot points, along with a fib extension as shown. Ultimately this trade only made it a little over half way to the target before coming all the way back to the entry zone (and another trade plan). Using proper trade management however most walked away with 20-40 pips from this move, all while allowing room for it to finish the move. Hey, not everything always goes as planned, but once you have break even locked in, and subsequently MAP (Minimal Acceptable Performance of 15 pips) then its time to let it run. Up to the market at that point.
FXBootcamp London Currency Coach-
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