Thanks kptMisiu!
Looking back the post and the attached image:
we've got:
1. A swing low occurring on 1 and 2 June 2011 with a low of 1.2051 level and a close of around 1.0268 (on the first).
2. A rally from 3 to 9 June peaking at around 1.2311.
3. On 10 June the price swings low to 1.2002 but closes at 1.2066 (a lower low but higher close than the previous swing low).
Were step 3 is the confirmation of the pattern.
What are the entry recommendations. Looking back through the recent posts at the charts (thanks Jeffokes for your post and the everyone who replied!) I'm guessing entry is somewhat discretionary so how do these sounds as guidelines:
a. on the low of the previous swing if the lows aren't a great distance apart.
b. enter N pips above the second swings low (possibly more aggressive with a risk of your buy stop not being filled) - N pips could be 10-20 based the very limited number I've looked at (11 in total - the statistician in me cringes that I draw a conclusion from 11 observations ).
c. enter on the open/close of the bar forming the second low.
Qualitative analysis of the positions I can find seems to illustrate a stop maybe 5-10 pips below the second swings low would be sufficient. Plus I might have read that somewhere in the previous posts!
And the exit would be at the trader's discretion (e.g. FTA or profit target etc).
Am I on the right track?
EDIT: Thanks TD for your reply above.
Looking back the post and the attached image:
we've got:
1. A swing low occurring on 1 and 2 June 2011 with a low of 1.2051 level and a close of around 1.0268 (on the first).
2. A rally from 3 to 9 June peaking at around 1.2311.
3. On 10 June the price swings low to 1.2002 but closes at 1.2066 (a lower low but higher close than the previous swing low).
Were step 3 is the confirmation of the pattern.
What are the entry recommendations. Looking back through the recent posts at the charts (thanks Jeffokes for your post and the everyone who replied!) I'm guessing entry is somewhat discretionary so how do these sounds as guidelines:
a. on the low of the previous swing if the lows aren't a great distance apart.
b. enter N pips above the second swings low (possibly more aggressive with a risk of your buy stop not being filled) - N pips could be 10-20 based the very limited number I've looked at (11 in total - the statistician in me cringes that I draw a conclusion from 11 observations ).
c. enter on the open/close of the bar forming the second low.
Qualitative analysis of the positions I can find seems to illustrate a stop maybe 5-10 pips below the second swings low would be sufficient. Plus I might have read that somewhere in the previous posts!
And the exit would be at the trader's discretion (e.g. FTA or profit target etc).
Am I on the right track?
EDIT: Thanks TD for your reply above.