Reversal Candlestick at Top of Channel on GBPNZD

9 Des 2014

I split this into two orders, since in my experience reversal candlesticks like this one often don't provide the pullback one would hope for. So I'm short at 2.030905 and at 2.05041; my stop for both orders is at 2.05995, with my take profit at 1.96389. The rationale for the trade is simple; we're seeing a downward channel on GBPNZD, and now we have a reversal candlestick at the top of that channel that could portend a move down.

Learn more about trading: informedtrades.com