As the UK session got underway, price poked above the Asian session highs with very shallow pullbacks, then closed bullishly above. This classic pattern allowed for an entry with a 17 pip stop loss and a potential 62 pips to our Target 2 meeting our minimum 3:1 R/R.
As price continued upward it pauses at yesterdays high and as the US trading session began, price pushes through the NFP highs of last Friday and above our Target 2. As price is more likely to pull back once Target 2 is reached than continue upward – we are quick to protect profits at this level and close the trade as it retraces back toward our target.
We continue to look for trades in the direction of USD strength with the best setups overall.
Good luck with your trading!
Back tomorrow if we find a trade.