More Dojis

April 28, 2008 20:53 by Jon

My limit sell order on USD/CHF wasn't hit today - the pair spent the day consolidating within a small range.  In fact, we've almost got a second doji, though I believe the open and close aren't quite close enough to be a true doji.  However, the concept still applies - that is, neither buyers or sellers could gain control.  I'm going to keep my order in place for another day, because we're still consolidating near resistance after a few strong up days in the midst of an overall downtrend.

Today also saw a doji forming on the EUR/USD daily chart, after three down days. In this case, the open and close differ by only two pips. I'm going to place a buy limit order just above today's high, to catch a break to the upside.

  • Order = Sell Limit
  • Limit Price = 1.57032 (10 pips above today's high)
  • Stop Loss = 1.55456 (10 pips below yesterday's low)
  • 1st Profit Target = 1.57820 (1/2R)
  • 2nd Profit Target = 1.58608 (1R)
  • 3rd Profit Target = Let it ride
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