Good evening everyone. Today finally after 10 days from my last trade we had another bunch of trade to enter in. From a lot of them like Aud/Usd, Nzd/Usd, Usd/Cad, Usd/Chf and so on I decided to trade Eur/Usd and Silver because I like the risk:reward they offer and the signals they show on the chart.
Eur/Usd showed a rejection of the important support around 1.30 and bounced from exactly the 50% retrace from the swing low of 13th January (1.2623) and the high of 9th February (1.3321) that was in fact 1.2972 and the Ema21 that usually act as a good dynamic support and resistance level. I set a buy limit at 1.3066 or 50% retrace of the pin bar formed today to get a better Risk:Reward. I’m aiming at least at 1:2 to the last swing high until 1:4 to the next key level around 1.35-1.3520.
Silver has a similar story. It bounced from the Ema 21 and made a false breakout to the downside. On both the charts we are following the trend that is still bullish. I’ll enter also here an entry on retrace of 33.30 to get a better Risk:Reward.
Managing the risk
Now I want to discuss a thing. How can we manage the risk when we have two pending orders? Usually I like to choose only one pair not to risk too much on correlated pairs but how can you do it when you are unsure about the order to be triggered? I decided in this case to use the same risk I use always for every trade on both the trades instead of splitting them in two half risk trades and maybe get triggered only on one and winning less than expected. I think I’ll cancel the other order when one will be triggered. Let’s see which one will be the chosen one tomorrow
Good Luck everyone!