Trade Overview
I'm sharing a breakout trading opportunity on the EUR/USD pair on a 1-hour timeframe, currently priced at 1.13698. This setup targets a potential breakout from a descending channel, offering a clear risk-reward scenario.
Chart Analysi
Descending Channel: The price is approaching the upper boundary of a descending channel, marked by a blue trendline. This suggests a possible breakout or reversal.
Resistance Zone: A key resistance is identified around 1.13714 (purple horizontal band), where the price recently faced rejection.
Support Zone: Support lies near 1.13680 (lower purple band), serving as a potential stop-loss or entry adjustment level.
Breakout Plan: If the price breaks above 1.13714, I plan to add 0.3 lots ("Add 0.3 L near"), adjusting the stop-loss to this level ("SL to new Position") to lock in profits.
This is a breakout trade with a focus on risk management. I'll enter on a confirmed break above 1.13714, scaling in with 0.3 lots, and trail the stop-loss to the entry level. The setup leverages the channel's upper boundary for a high-probability move, with the SMA providing additional confluence.
Risk Management
Initial SL: 1.13680 (below support).
Adjusted SL: 1.13714 (post-breakout).
Target: Dependent on channel breakout strength, aiming for the next resistance or a 1:2 risk-reward ratio.
Let’s see how this plays out—feel free to share your thoughts or follow along!
I'm sharing a breakout trading opportunity on the EUR/USD pair on a 1-hour timeframe, currently priced at 1.13698. This setup targets a potential breakout from a descending channel, offering a clear risk-reward scenario.
Chart Analysi
Descending Channel: The price is approaching the upper boundary of a descending channel, marked by a blue trendline. This suggests a possible breakout or reversal.
Resistance Zone: A key resistance is identified around 1.13714 (purple horizontal band), where the price recently faced rejection.
Support Zone: Support lies near 1.13680 (lower purple band), serving as a potential stop-loss or entry adjustment level.
Breakout Plan: If the price breaks above 1.13714, I plan to add 0.3 lots ("Add 0.3 L near"), adjusting the stop-loss to this level ("SL to new Position") to lock in profits.
This is a breakout trade with a focus on risk management. I'll enter on a confirmed break above 1.13714, scaling in with 0.3 lots, and trail the stop-loss to the entry level. The setup leverages the channel's upper boundary for a high-probability move, with the SMA providing additional confluence.
Risk Management
Initial SL: 1.13680 (below support).
Adjusted SL: 1.13714 (post-breakout).
Target: Dependent on channel breakout strength, aiming for the next resistance or a 1:2 risk-reward ratio.
Let’s see how this plays out—feel free to share your thoughts or follow along!
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.