Entry:
Entry Price: $2,491.50
Rationale: The price has broken above a significant resistance level at $2,490. This breakout level often acts as a point of confluence, indicating potential support on a retracement, especially since it aligns with recent fractals on the 1H chart.
Stop Loss:
Stop Loss Level: $2,480.00
Rationale: This stop loss is placed just below the significant level of $2,485, where a retracement could be expected if the breakout fails. Setting the stop loss here minimizes risk while allowing the trade room to breathe. You would be risking $11.50 per ounce, which is within your risk tolerance.
Take Profit (Target):
Target Price: $2,520.00
Rationale: The target price is set at $2,520, where there’s likely to be higher liquidity and potential resistance. This gives you a reward-to-risk ratio of approximately 2.5.
Trailing Stop Adjustment:
Adjust Stop Loss: Adjust the stop loss to $2,500.00 if the price reaches $2,510. This helps lock in profits as the trade moves in your favor while protecting against sudden reversals.
Consideration:
Market Context: The overall trend in the daily chart is bullish, and with the fractal pattern forming a higher low on the 1H chart, the probability of the price continuing upward is strong.
Execution:
Order Type: Use a Buy Limit Order to enter at $2,491.50.
Entry Price: $2,491.50
Rationale: The price has broken above a significant resistance level at $2,490. This breakout level often acts as a point of confluence, indicating potential support on a retracement, especially since it aligns with recent fractals on the 1H chart.
Stop Loss:
Stop Loss Level: $2,480.00
Rationale: This stop loss is placed just below the significant level of $2,485, where a retracement could be expected if the breakout fails. Setting the stop loss here minimizes risk while allowing the trade room to breathe. You would be risking $11.50 per ounce, which is within your risk tolerance.
Take Profit (Target):
Target Price: $2,520.00
Rationale: The target price is set at $2,520, where there’s likely to be higher liquidity and potential resistance. This gives you a reward-to-risk ratio of approximately 2.5.
Trailing Stop Adjustment:
Adjust Stop Loss: Adjust the stop loss to $2,500.00 if the price reaches $2,510. This helps lock in profits as the trade moves in your favor while protecting against sudden reversals.
Consideration:
Market Context: The overall trend in the daily chart is bullish, and with the fractal pattern forming a higher low on the 1H chart, the probability of the price continuing upward is strong.
Execution:
Order Type: Use a Buy Limit Order to enter at $2,491.50.
Note
Trade is active, the rabbit has entered the trade at around $2492 (adjust for your own broker's spread)Note
Take note:Trailing Stop Adjustment:
Adjust Stop Loss: Adjust the stop loss to $2,500.00 if the price reaches $2,510. This helps lock in profits as the trade moves in your favor while protecting against sudden reversals.
Note
As mentioned in the comments, price has retested our buy zone, we shifted our stop loss to $2495. Trade is still active. We will not open new trades yet. Note
Target price of $2520 filled. Trade closed 
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.