Trading Chart Pattern
It's already the 11th day of CNY, my last update on Nikkei 225 was on 除夕, I don't usually like to post anything when market is still moving well base on the original FIB that I have created. (Not like I will update whenever I changed my FIB, hahaha... My job is to teach you how to fish, not spoon feed).
Lots of similar cute pictures posted on social media this tiger year, extracted this out from one of the contributor.
Most of our trained traders here should already know the basic of how to trade Chart Patterns(if you're not, don't miss our next intake). Can you spot "two" similar chart pattern formed at FIB levels?
The very first one happened on Feb 2, which is the also the 2nd day of Lunar New Year. Did the pattern play out? Answer is no, did you lose any money if you have traded? No, because you have proper entry and exits.
Dollar & Cents
How much can a chart pattern trader get from this trade?
105 tics x size that you're confident and comfortable to place this trade.
Let's assume that you can afford to place 10 lots.
By 4th Feb, you're out with your first profit of 105 tics x 8 lots = Y2,100,000 or ~USD18,104. Your balance 2 lots was stop out and suffer a loss of 14 tics x 2 lots = (Y70,000) or ~USD603. You nett gain for this trade = USD17,501.
Did you spot the next one? With the help of SkyLand and Fib, a HgM was formed on 10 Feb (which is yesterday, 十全十美). 114 tics profit this time(slightly more than the first one), first target reached at 1pm today.
Gain: USD19,656 (while waiting for the final judgement on your balance 2 lots)
As long as you plan your entry and exits together with the right position size, the outcome of your trading results should look as healthy as the tiger pictures that we have seen this CNY :)
What else can we spot?
I can hear Sniper Club shout: MIRROR!