AUDNZD - let's break it down
AUDNZD - nice setup here ready for next week. Bearish trend waiting on that 3rd touch before we would normally look to enter a trade. Adding a fib in from the last RSH we can see that we have a nice bit of structure to the left of us which also lines up with the 38.20%.
So now we have 3 confluences. Trendline, fib retracement and structure. With a nice 17 pip SL and 74 pip Take Profit that gives us a risk reward of over 4%, using 2% of our account size using correct risk management that will be over 8% gained in this trade should it play out as we expect. The reason we are only having a 17 pip SL is if you look at the small purple box I've drawn, this shows where price has tried to already previously pushed and failed, plus we have the 50% just below the SL also, so we have enough points here that if we get stopped out then it just wasn't to be.
If you want some help with your trading. Drop me a message, I'm here to help :)
So now we have 3 confluences. Trendline, fib retracement and structure. With a nice 17 pip SL and 74 pip Take Profit that gives us a risk reward of over 4%, using 2% of our account size using correct risk management that will be over 8% gained in this trade should it play out as we expect. The reason we are only having a 17 pip SL is if you look at the small purple box I've drawn, this shows where price has tried to already previously pushed and failed, plus we have the 50% just below the SL also, so we have enough points here that if we get stopped out then it just wasn't to be.
If you want some help with your trading. Drop me a message, I'm here to help :)