The price is seen rebounding off from a major support zone while a crab pattern was formed within the zone.
Price has already appreciated and made higher high and has also completed a retracement channel. The price has also broken above the retracement channel which signals for the price to appreciate further.
The euro has gained significantly after Draghi’s speech and the price has broken above the previous swing high, together with a crab pattern, and that simply suggested that the price could gain further.
First TP level is seen at 1.0928, FR161.8% based on the crab pattern, followed by 1.0974, FR261.8% within a key resistance zone.
Stop loss was set 20 pips below FR78.6% based on the previous swing low to high.
[28/10/16 01:10]Exited half position to cut loss as the price broke below previous swing low.
[29/10/16 01:34] Price hits take profit and exited fully.
Results: Gain 1.07%
This was an excellent trade as everything is going according to my trading plan and most importantly, I followed through my trading plan, cut losses when needed and hold the trade accordingly to my plan.
Imagine if I exited 2 hours earlier when the price is just moving slowly and retracing every time it made some gains, I would definitely regret it when the price finally surge in my direction.