Below is a daily chart of the March EuroFX futures. The daily chart had formed a flat bottom triangle, and Friday saw it testing the lows. I was looking to sell a breakout of the bottom of the triangle, but it waited for today to break out.
Today was a breakout, “Trade” day setup. It had the narrowest range of the previous four days, and the fact that it was closing just over the bottom trendline gave a great potential setup. The daily Trade or Fade report shows the Trade or Fade support and resistance points. Given the action on Friday, you could have been looking to sell a break under Friday’s low of 1.3804; this would have given you a better entry price than the S-1 ToF entry. If you chose the conservative S-1 entry, a break to the S-2 objective yielded a profit of $1850.
Daily Trade or Fade Report
Trade or Fade is designed to help you anticipate potential breakout trade setups, and gives you the methodology to exploit these opportunities. To find out more about Trade or Fade, and to sign up for your free two week trial to Trade or Fade, go to its web site here: http://trade-or-fade.danielstrading.com/
Breakout trade in the Euro
