ENTRY
This was a purely range-bound trade as EUR has been in a range for several months and NZD was in a nice range for the last month. EUR was coming off of the bottom of it’s range (thought it wasn’t the very bottom), and had some strength on the day, and NZD was fairly weak on the day and was pushing down off the top of it’s range.
Looking at this chart individually, There was a clear range that this has been trading within for the last month or so, and price was basing near the bottom of it with upward momentum. Looking at the hourly chart, the base was a lot more clear, so I ran the numbers using the major support/resistance lines as my entry and stop points (even though they had been broken a few times, the overall levels themselves seemed to hold up).
EXIT
I left the trade alone and got the notification later on in the evening that my trade had triggered. I kept an eye on it and it looked pretty positive initially — I was up roughly .5R. Price pushed up and looked nice for a few hours before it reversed and headed back down and triggered my stop loss.
When I initially planned this trade, I had my entry higher, just outside of the highs of the range (instead of the overall resistance area) but I ended up moving it for a better R:R/profit potential. Even with my initial entry level, price would’ve triggered in just enough and then reversed to stop me out. Either way I slice it, it didn’t work out great. I’m still figuring out how to play ranges.
