Watch as I execute a live price action trade on the USD/CHF. Currently up +143 pips, I explain my entry, stop loss placement and why I took the trade.
Here’s the transcription for the forex trading video:
“Hello traders here. Chris Capre, 2ndSkiesForex.com.
Today I have a live price action trade here for you on the USD/CHF where I’m going to explain my entry, my stop loss, my take profit levels and why I took the trade.
As you can see from the chart, I’m up about +143 pips roughly at this point and it matches down here in the platform. You can also see that this is a real money account.
FXCM with all their platforms whether you’re on the institutional platform, the Active Trader, or the more common retail one which is their Trading Station 2 with New York Close forex charts will always say real when it’s a real money account and it will say demo when it’s a demo account.
Moving on to the trade here, we can see it was opened about 24 hours ago, it’s about 6 4-hour candles.
I’ve been talking to my members about this in my price action course, that the 0.95/0.9525 is a key support level.
On the 20th, the bids held this area really well, you can see there was kind of a lot of absorption of the offers here and they eventually started to push back and in that process the market tried to come back a little bit but then the bids stepped in and pushed it up another leg higher.
So I was thinking that it may not come back to the 0.95 level again so I was willing to get in at 0.9529.
I don’t consider this a textbook entry as you can see, it did go to about 0.95 again, so that would’ve been the textbook entry.
So my entry wasn’t perfect by any means, but the overall trade location was solid, this range support area has held 3 times now, so this is a really good trade location.
My stop loss placement was just a few pips below the low of the lowest push below this 0.95 here. So I have at this point a 54 pip stop and being up about 142 pips gives me almost about a plus +3R, it’s about 2.6.
Now, in terms of my target, it’s at 0.9825 and that’s the most recent spike highs.
So assuming that the bulls are gonna continue to maintain this range, at a minimum they should attack about this high right here at 0.9750 which would still offer me about +4R, but I’m gunning for this one here, expecting that it’s gonna try and make an attack up here and that would give me about +5.5R.
In terms of trade management, if the price action attacks this 0.9800 handle or above here pretty aggresively, I may be open to lifting the limit and then gunning for a larger move back towards parity or maybe 0.9950, which would add a lot more profit and R onto the trade.
In terms of the stop loss management, at this point I’m likely gonna lift the stop pretty soon here, and lock in some profit soon, perhaps just under 0.96, which would be this kinda area right over here.
And that would neutralize all the risk and lock in some profit and be in a risk free trade at this point.
But that’s pretty much it in terms of my entry, stop loss, take profit location and my price action analysis behind this.
I’m simply playing the range here, it’s a medium term range structure and so I’m playing the range on both sides, with a slight bullish bias right now.
But did you find this lesson useful?
Please make sure to like, share and tweet it below, and I’d love your comments on this and what “a-ha” moments you had from this.
Also make sure to check out my website, 2ndskiesforex.com, and check out all the free forex trading articles and videos there.
If you want to take your training to the next level, make sure to visit my price action course, where I teach you how to make + high R trades, just like this.
And that’s pretty much it, this is Chris Capre with 2ndskiesforex.com where I teach you how to change the way you think, trade and perform.”