It doesn’t matter how long you’ve been trading; there is always room to improve your approach and become a more profitable trader. To be a successful day trader, you need to learn what the pros do, implement their tools into your methods, and constantly be willing to improve your strategy.
1. Have a strategy.
This may seem simple but almost all amateurs trade...
On the chart you can see we have had a strong move upwards, followed by a pennant formation, this indicates that a breakout may be about to happen.
I have set alerts for a breakout of both the top and bottom of the formation, however I have a bullish bias towards the pair.
Always make sure trade ideas align with your own strategy and never blindly trade what others say.
Everything on the chart says it all :)
Other signals on this trade:
Momentum indicator crossing into negative terratory
4h Money Flow index sell signal.
Right now the pair has pulled back to a 38.2% retracement level. If the pair bounces back towards the downtrend, we can open our position.
With a TP level of 1.615
And a SL of 1.631, in case the pair does indeed pull back to 61.8%
Always wait for confirmation before entering a trade.
Let me know what you think in the comments!
Here I will be looking to short NZDCHF if we get a break and close below the neckline of the head and shoulders formation AND the 200EMA.
TP will be 0.6253
SL will be just above the recent high.
Good luck with your trades!
