So in order to protect yourself from major losses when trading in Forex, often times you might want to hedge your trade by placing the opposite order for a similar pair.
This is an example of such situation , we have a perfect wave set up over on the Eur/Jpy charts that we entered earlier today. While that trade is still open , sometimes i get nervous about investor moving the market opposite of what the pattern suggests , so i will find a pair, in this case Nzd/Jpy, that is similar to my primary trade, in this case Eur/Jpy, and i will place the opposite trade. In this case i was short Eur/Jpy so I went through all of my Yen pairs looking to find a good place to enter long.
I have placed my Entry at point Z of the wave series because i plan to may my money on the corrective series. Because i don't know for sure which pattern the market will take on the correction , i have decided to place my limit at point X of the original series, because both possibilities end up at point X eventually, and it provides a reasonable safe return; And lastly, because i like to keep a 2:1 risk to reward ratio, I placed my stop at 82.683, in this case it is roughly 2:1.
Thanks for checking out this trade, ever so often both of the trades will complete accurately, so hang on tight and check back in shortly!
Don't forget to like and comment on this post , help get me on the front page, get the word out about my trades, and follow me for more trades and updates.
Thanks again ! Good Trading Everyone!
This is an example of such situation , we have a perfect wave set up over on the Eur/Jpy charts that we entered earlier today. While that trade is still open , sometimes i get nervous about investor moving the market opposite of what the pattern suggests , so i will find a pair, in this case Nzd/Jpy, that is similar to my primary trade, in this case Eur/Jpy, and i will place the opposite trade. In this case i was short Eur/Jpy so I went through all of my Yen pairs looking to find a good place to enter long.
I have placed my Entry at point Z of the wave series because i plan to may my money on the corrective series. Because i don't know for sure which pattern the market will take on the correction , i have decided to place my limit at point X of the original series, because both possibilities end up at point X eventually, and it provides a reasonable safe return; And lastly, because i like to keep a 2:1 risk to reward ratio, I placed my stop at 82.683, in this case it is roughly 2:1.
Thanks for checking out this trade, ever so often both of the trades will complete accurately, so hang on tight and check back in shortly!
Don't forget to like and comment on this post , help get me on the front page, get the word out about my trades, and follow me for more trades and updates.
Thanks again ! Good Trading Everyone!