Tuesday, February 12, 2013
EURUSD sell potential increased
EURUSD trades with the decreasing volatility last day. The volatility may increase soon and the support (last minimum) at 1.3357 will be punched. Let's put pending sell order 1 point lower the support level.
We can use 161.8, 261.8 and 423.6 Fibonacco levels as Take profits and the resistance (last maximum) level as Stop loss.
As we reach each Fibonacci level close the 1/3 of the order amount and move the Stop loss at the previous Fibo level. For example as we reach 161.8 Fibo level close 1/3 of the order amount and move Stop loss to 100 Fibo level (i.e. entry price level).
SELL STOP order
My entry price: 1.3356
My take profit 1: 1.3314
My take profit 2: 1.3244
My take profit 3: 1.3130
My stop loss: 1.3428