Recent trade of 65 Pips on the CAD JPY today.
Here is the Video Analysis of the Trade Setup
And you can see the before and after of the trade in the graphs below.
I use FXCM charts to assess the market and for entry signals, but I execute my trades with FXPro ( better interface).
Overall, we took advantage of the False Breakout Reversal Setup on the Range Setup of the Daily Chart - there was an initial failed bullish breakout attempt ( incurred a small loss) that was leading to a reversal back inside the Range. After the Daily Chart gave the Strong Bearish Signal, entry took place to target the Support boundary.
DAILY CHART SETUP
4 HOUR CHART ENTRY SETUP
The Downtrend Line and the Resistance Boundary were used as safe Stop Loss Areas.
After 16 hours, target was hit…
DAILY CHART TARGET HIT
4 HOUR CHART RESULT
As you can see, market hit the target after pulling back slightly. Stop Loss was unaffected/never really threatened.
Not looking at your trades once you have entered the market is highly recommended to avoid any anxiety you may feel when watching these temporary reversals.
FXPRO LIVE RESULT
EMAILED TRADE ALERT
This graph below also sums up the theory of False Breakout Reversals, where the market will fail to breakout at one end then reverse sharply to head back inside to hit the ither boundary. Reversals like these allow us to make up for losses incurred in trading the initial breakout attempt.
So overall, a good trade, a quick trade and one that pushed return to 13.0% since new strategy began in February this year , with only a few small losses incurred along the way.
(Nov. 2016 - Jan. 2018 was used to extensively test and create the new strategies and thus experienced a loss of 13.6% The graph represents the performance since that period ended. In other words, just 12 trades in 4 months were needed to erase that loss)
Now only approximately 4 trades are needed to hit the 30% mark before hitting even larger targets in the weeks and months ahead…
MAIN ASPECTS OF THE TRADE
False Breakout Reversals lead to fast movements back inside of Consolidation.
Trading Targets can be set at the opposing boundary.
Targets take a shortwhile to hit their targets.
4 Hour Trend Lines and Support/Resistance Boundaries can protect your trades against temporary pullbacks.
Never Watch your trades to avoid the temptation of unnecessary interference because of minor/ temporary reversals.