SoldierOfOne
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Hi Kaffee
Apologies for the delay in responding. I will look at the currency chart tomorrow.
I have indeed looked at BOC (713.50p), and, to be honest, not sure what to make of it.
The 2 year chart shows resistance at 820-830p; a descending triangle has been breached earlier this year
OBV drifting downwards
MACD and Signal Line – no bullish sign here
RSI – neither over-bought or under sold
YTD Chart
Another descending triangle…looks like it has broken through its support at 730p
In order to learn, I’m going to paper trade this as follows
Short
Target 650p (reward = 63.5 points) and this is based on measuring the widest part of the descending triangle (80 points) and dropping this down from 730p
Stop Loss 740p (risk = 26.5 points)
This gives a risk/reward of 2.40, which I'm comfortable with.
I realise this is probably the opposite of what you were suggesting, Kaffee, but I’m looking to learn and would appreciate any one’s views.
Skimbleshanks – thanks for the wise words. Have indeed applied for a FINs account but will keep my powder dry for a while (as you can probably tell from the above analysis!)
Cheerio
SoldierofOne
Apologies for the delay in responding. I will look at the currency chart tomorrow.
I have indeed looked at BOC (713.50p), and, to be honest, not sure what to make of it.
The 2 year chart shows resistance at 820-830p; a descending triangle has been breached earlier this year
OBV drifting downwards
MACD and Signal Line – no bullish sign here
RSI – neither over-bought or under sold
YTD Chart
Another descending triangle…looks like it has broken through its support at 730p
In order to learn, I’m going to paper trade this as follows
Short
Target 650p (reward = 63.5 points) and this is based on measuring the widest part of the descending triangle (80 points) and dropping this down from 730p
Stop Loss 740p (risk = 26.5 points)
This gives a risk/reward of 2.40, which I'm comfortable with.
I realise this is probably the opposite of what you were suggesting, Kaffee, but I’m looking to learn and would appreciate any one’s views.
Skimbleshanks – thanks for the wise words. Have indeed applied for a FINs account but will keep my powder dry for a while (as you can probably tell from the above analysis!)
Cheerio
SoldierofOne
