So we’ve come to the end of the week, and it’s been an interesting one! We’ve had a couple of classical patterns, some intrarange action, and some nice breakout scalps. All of these things have given us opportunities to get in and out of the markets for a few good take-profit hits. We’ve also seen a few stop loss hits, but as things stand, we remain net up on the market. We’ve got one day’s worth of trading left, and we want to try and make the most of it.
As we head into today’s session, then, what are we looking to trade, and where are we looking to get in and out according to our intraday strategy? Let’s take a penultimate look at the markets.
As ever, get a quick look at the chart below to get an idea of what’s on. It’s a five-minute candlestick chart (we are tightening things up a little from the last few days) and with today’s range overlaid.
As the chart shows, the range we are going at today is a standard horizontal range, defined to the downside by in term support at 560, and to the upside by in term resistance to the upside at 566. There’s not quite enough room to go at things with an intrarange strategy, so we’ll be focusing solely on breakout this session.
We’re currently trading mid range, and we’ll look at the upside run first. If price breaks through resistance, we will look at getting in long towards an initial upside target of 575. It’s a pretty aggressive trade, and we’ve got room for a nice wide stop – somewhere in the region of 563 looks good.
Looking south, a close below support will put us in short towards 550 flat, and we’ll get in with a stop loss at 563 once again to define risk on the position.
Charts courtesy of SimpleFX
