Greetings fellow traders,
I am excited to present a compelling long opportunity on EUR/USD, backed by technical analysis, a significant imbalance fill, and a bounce from a daily demand zone. However, I must emphasize that the timing for this trade is rather precarious due to potential volume drying up in the market, coupled with the impending risk of rollover during the New York session, especially with the upcoming Fed interest rate news. Therefore, I plan to approach this trade with caution and monitor it closely.
Rationale for the Long EUR/USD Trade:
Filled Large Imbalance: The market has filled a significant imbalance, which often serves as a strong indication of potential price movement in the direction of the fill. This is a favorable sign for a long position on EUR/USD.
Bounce from Daily Demand Zone: Additionally, the price action has rebounded from a daily demand zone, suggesting that buyers have stepped in at this level, further bolstering the bullish case for the trade.
Timing and Rollover Risk:
Given the current market conditions, I am aware that market volume may start to dry up soon. As volume decreases, the risk of slippage during trade execution increases, which could potentially impact our account.
Furthermore, the upcoming Fed interest rate news during the New York session poses significant risks. Market volatility is likely to surge around the time of the announcement, leading to potential unpredictable price movements. Therefore, I intend to exercise extra caution and consider holding the trade until the news has been released and its initial impact on the market has subsided.
Contingency Plan:
If my execution for the long EUR/USD trade doesn't occur before the New York session's Fed interest rate news, I will closely monitor the market during this period. If I observe any adverse price action or signs of unfavorable slippage, I may opt to manually close the position to protect my account.
As with any trade, I will implement prudent risk management strategies, setting appropriate stop-loss and take-profit levels. Additionally, I understand the importance of continuously reassessing the trade's viability in real-time, as market dynamics can change rapidly.
Please bear in mind that all trading involves inherent risks, and the outlined plan is based on personal analysis and research. It is not intended as financial advice, and I encourage fellow traders to conduct their due diligence and consult with a professional financial advisor if needed.
Wishing everyone profitable trading and a mindful approach to market risks.
I am excited to present a compelling long opportunity on EUR/USD, backed by technical analysis, a significant imbalance fill, and a bounce from a daily demand zone. However, I must emphasize that the timing for this trade is rather precarious due to potential volume drying up in the market, coupled with the impending risk of rollover during the New York session, especially with the upcoming Fed interest rate news. Therefore, I plan to approach this trade with caution and monitor it closely.
Rationale for the Long EUR/USD Trade:
Filled Large Imbalance: The market has filled a significant imbalance, which often serves as a strong indication of potential price movement in the direction of the fill. This is a favorable sign for a long position on EUR/USD.
Bounce from Daily Demand Zone: Additionally, the price action has rebounded from a daily demand zone, suggesting that buyers have stepped in at this level, further bolstering the bullish case for the trade.
Timing and Rollover Risk:
Given the current market conditions, I am aware that market volume may start to dry up soon. As volume decreases, the risk of slippage during trade execution increases, which could potentially impact our account.
Furthermore, the upcoming Fed interest rate news during the New York session poses significant risks. Market volatility is likely to surge around the time of the announcement, leading to potential unpredictable price movements. Therefore, I intend to exercise extra caution and consider holding the trade until the news has been released and its initial impact on the market has subsided.
Contingency Plan:
If my execution for the long EUR/USD trade doesn't occur before the New York session's Fed interest rate news, I will closely monitor the market during this period. If I observe any adverse price action or signs of unfavorable slippage, I may opt to manually close the position to protect my account.
As with any trade, I will implement prudent risk management strategies, setting appropriate stop-loss and take-profit levels. Additionally, I understand the importance of continuously reassessing the trade's viability in real-time, as market dynamics can change rapidly.
Please bear in mind that all trading involves inherent risks, and the outlined plan is based on personal analysis and research. It is not intended as financial advice, and I encourage fellow traders to conduct their due diligence and consult with a professional financial advisor if needed.
Wishing everyone profitable trading and a mindful approach to market risks.
Trade stängt manuellt:
Our entry point was missed by small amount of pips. So manually closing/removing order now. Will be waiting for the opportunities in the market. Will probably look for a trade after Fed Interest Rate decision.