whipcrack wrote:I’ve made my first combination trade today & all thanks to your clear, well presented examples.
I took a crack at the Eur-Usd as it fell through 1.4860 this afternoon....
...And I entered off my 15 minute chart when the price fell through another lower high & lower low at 1.4860
I saw the next level of support is down at 1.4760 on my 4 hourly chart, so I calculated my potential profit at approximately 100 pips with my stop loss at 1.4890 = 30 pips.
That’s a fantastic job, well done whipcrack!
I’ve compiled the chart snags based on the explanation in your post.
As long as you’re attempting to place yourself the right side of the momentum, with clear air to next level support or resistance & a correctly calculated risk stop, then you’ll stack the odds in your corner enough times to keep you ahead out there.
You might want to take a little extra care when looking to hide your stops. Price has a habit of kicking back around big figures & round numbers (virtually to the pip at times), seeking out weak hands & loose stops. But your idea was clever.
Did I get the entry bar correct? or was your entry on the bar 4 more places to the right?