EURUSD - Do you need help??EURUSD here. But firstly, do you need help trading or understanding char layouts? if you do I may be able to help I'm only a message away.
We have all been there where we think we see the perfect setup and we look back an hour later to see it has smashed our stop loss. This is all a learning curve, all successful traders have been there and if anyone tells you they haven't then they are sure as shit lying to you! Even now I will confidently say I hit stop losses. The main thing that keeps me trading is knowing my strategy works and making sure I stick to a strict risk management plan. By doing so you can have the worst trading day ever where everything goes against you but you'll still have capital to again the day after and make the money back.. think about it.
If you hit 3 stop losses at 1% risk you will lose 3% of your capital. If you hit 1 TP where your RR (Risk Reward) is say 4.2% you would reclaim all your losses and be 1.2% up un profit off one trade. Simple right?
Anyway, EURUSD. I explained the importance of DXY in an earlier post and again it is important when I have looked at EURUSD. I can see we have now hit a rejection zone within the dollar and can see DXY rising again meaning the dollar is getting stronger. Also looking at price action here on the 1hr timeframe I can see we had an impulsive move down with a sharp rise back up meaning I can look to the left and look at prior structure (Yellow highlighted box) so now I can see structure I can add in my fib. High to low we can see the fib lines up nicely with the 50% fib meaning to me we should see some rejection here.
My trade has a 17 pip Stop Loss with a RR of 3.26% meaning if the trade fails, I'll lose 1% of capital. If the trade goes to plan I'll gain 3.26% on my capital. You don't have to look for massive swings to make money nor do you need to allow a huge stop loss to be able to let your trade run. Be smart and only trade when everything starts to line up. And remember, losses happen. We can never be right 100% of the time.
