I took this trade on the EUR/NZD forex pair a few days ago. I noticed a nice Pin-Bar on the 1h chart and immediately hopped into a long position.
When I looked at the 30-minute chart, I noticed that there was a very clear divergence that was not very visible on the 1-hour chart. Sometimes the higher time-frames can hide this information, so it is useful to check out the lower time-frames to get a different perspective on the candlesticks.
I was aiming for a 200 pip profit on this trade, but I decided to manually exit this trade at 1.7898 for a 164 pips. Why did I exit early?? My risk on this trade was about 53 pips, so the 163 pip profit was withing the 1:3 risk-reward ratio that I usually aim for. Had I waited to the 200 pips, this trade would have turned into a break-even. Sometimes you exit early and you nail it, and sometimes your take-profit order gets missed by a few pips and the market retraces all the way back to your stop-loss/break-even order. That is Forex trading for ya!
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- EurJpy Trade Analysis Video
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