Setting Up A Short Position For EUR/USD - Order Block Zone
Good morning!
Today, we are on the EUR/USD pair.
We are looking at the 1-Hour time frame.
Yesterday, I highlighted an area of interest that I would call an Order block.
We can see that price was pushing down to support and wasn’t breaking it. The price kept bouncing up off it. I was waiting for a break through this support level.
In the highlighted zone, we have one last bullish candle before the price impulsively broke support. This area is the Order block. I like to include the wicks here because EUR/USD tends to stop hunt me all the time haha. So I like to give myself room for my Stop Loss.
So, I set up a pending order and was waiting patiently for the price to retrace back into this zone and once it did, my short position would open.
The risk to reward on this one is 1/3. I don’t like using more than a RR of 1/3 on EUR/USD.
This pending order opened while I was sleeping and I woke up to target being reached.
I love these types of trades.
Again, it doesn’t happen all the time, but with backtesting, you can set up a list of rules and criteria that you need to give you the confidence to enter into these positions.
Hope you all have a great Thursday.
See you on the next one!
Today, we are on the EUR/USD pair.
We are looking at the 1-Hour time frame.
Yesterday, I highlighted an area of interest that I would call an Order block.
We can see that price was pushing down to support and wasn’t breaking it. The price kept bouncing up off it. I was waiting for a break through this support level.
In the highlighted zone, we have one last bullish candle before the price impulsively broke support. This area is the Order block. I like to include the wicks here because EUR/USD tends to stop hunt me all the time haha. So I like to give myself room for my Stop Loss.
So, I set up a pending order and was waiting patiently for the price to retrace back into this zone and once it did, my short position would open.
The risk to reward on this one is 1/3. I don’t like using more than a RR of 1/3 on EUR/USD.
This pending order opened while I was sleeping and I woke up to target being reached.
I love these types of trades.
Again, it doesn’t happen all the time, but with backtesting, you can set up a list of rules and criteria that you need to give you the confidence to enter into these positions.
Hope you all have a great Thursday.
See you on the next one!