AUDUSD, 4hr
Long or Short: short
Entry Point: 1.0690
Stop Loss: 1.0720
Profit Target/s: 1.0600 and 1.0520
Reward-to-risk Ratio: 3:1 and 5.6:1
Risk percentage: 0.5%
Indicators used:
-RSI (14)
-100 SMA (red line)
Trade Rationale:
-falling trend line, previous support/resistance area, 50% Fibonacci level
-risk aversion and falling commodity prices
-also, a lot of data from the U.S.
Trade Adjustments:
-I’m only gonna sell when RSI is already in the overbought area. I will take profit on half of my position at 1.0600 then move my stop to BE. I would then exit the other half at last week’s low at 1.0520. I won’t take this trade when price breaks above the trend line.