The Gbp Nzd trade was a perfect example why i use the “if then” scenarios and why we need to trade what we see and dont stick to one bias! Go with the flow is the Key word here .
I entered this short trade after the rising trendline was broken and price was able to close below it (first yellow circle)
Price showed no follow through and was just grinding higher again closing above the rising and the falling trendline this is was a evidence for me that it would be hard for prce to drop instead.
Time for scale out/closing the short position .
As i said in last weeks post i want price to break the falling Trendline and the ma to drag me into a long !This happend at the second yellow circle as you can see. Prce breaks and close above the moving average and i was ready for a long here .
The long trade made up for the loser before + made some extra $ as well .
Now there are different ways to manage this trade once you are in and depending on your hunger for risk this trade could be closed with a nice gain or still open .
I personaly already took my profit but will keep an eye on this trade for a possible pullback to enter long again.
But thats a different story