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by Sunil Mangwani
November 23, 10:00 GMT
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The EUR/USD fell outside the channel and hit the first Winnipeg level.
Here is the original trade idea.
Here is the current chart:
The trade opened at 1.5777 when it closed below the bottom of the channel.
The trade closed at 1.5586 when the pair hit the first dashed red Winnipeg line (an extension outside the channel).
The USD/CAD broke out on the downside of the channnel below, and it has already started to hit Winnipeg lines. I am interested in seeing if the pair can actually get back up to the bottom of the channel that was broken for a Winnipeg (sell trade). If it rises back up and touches the bottom of the channel, I am willing to sell the pair. Stop loss if the pair closes back inside the channel. Profit target would be the 100% Winnipeg line at the very bottom of the chart image (that’s a target equal to the width of the original channel).
Of course, I would also want to be ready to see the USD improve, and I’d be willing to reverse my trade and buy the pair if it closes back inside the channel and stops me out of the short trade.
