EURAUD Trade Analysis

System C's EURAUD trade reason



Gold arrow: Entry price

Red arrow: Stop loss price

Green arrow: Take profit price


Trade Setup:

EURAUD formed a major channel in the hour 1 and hour 4 timeframe.

Trade confirmation:

Price touched the top of our channel.


Trade reasons:

1) price touched the top channel

2) Good risk-reward ratio ( 1 - 2.54)



Take profit reasons:

1) There is a strong resistance/support in the middle of the channel

2) Take profit level was set there to to not over estimate market trend.


Stop loss reasons:

1) Stop loss level was set to be above the top of the previous wick.

2) If price breaks the wick, it might be a breakout of a channel