USDCHF - Bullish Breakout expected - Trade Idea in Description
*** Trade at your own risk! ***
*** Not every idea is also traded by us ***
Hi Traders!
Daily TF:
* Ascending Triangle
- Equation: Higher Lows + Equal Highs = Bullish Breakout (!!Execpt Downtrend --> Bearish Triangle)
- Buyers accept higher prices while Sellers keep selling from same price
- Seller could potentially expect a higher price in future
- Seller could worry that his target price is coming nearer
* Bullish Price Action
- Often indicates the moves of Market Makers --> buying with bigger Lotsizes
* Strong Weekly Resistance
- Market keeps reacting less and less to the Resistance --> gets weaker
H4-TF:
Potential Trade Setup:
We have an inner Trendline and a potential outer Trendline. The outer Trendline is potential as we don't have a third touch yet.
However, the market made a Trend Move and reached the Resistance with lots of Momentum.
That's why it is potential that the market makes a Retracement Move now.
(In an Trend, we have a Trending Move after Retracement Move after Trending Move and so on.)
The Retracement Move will probably end at the support.
It is important to analyse the Price Action of the market when it reaches the dashed support line.
If we see bullish PA (e.g. bigger green candles, long bearish wicks, etc.) then we can expect the market to move up.
After we see the first higher High, we can trade the price.
The SL should be below the last Low.
The first TP should be at the Resistance in case market tends to come back.
You can use some kind of Trailing Stop to ride the Up-Movement.
If you have any questions, another Point of View or anything else to share, don't hesitate to comment!
Thanks and successful Trading :-)!
Related publications
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.