Price on GBPCAD moved upward after printed double bottom and broke the daily resistance level. This resistance level has been rejected twice in the past. On the 4 hours chart below, we can see that price retrace back to the old resistance, now the new support level, form a bullish engulfing bar follow by a pin bar which also engulf the previous bar. I decide to open two long positions with the stop loss below the pin bar.
OP: buy stop 2.0435, SL: 2.0286, TP1: 2.0546, TP2: 2.0925
- I will cancelled the order if the price moves below and pass through the low of the 4-hour pin bar.
- Adjust stop loss level to break even if the price reach first target.
GBPCAD daily chart
GBPCAD 4-hour chart