Long on EURUSD at 618 Fib RetracementHey, guys. So I'm trying hard to work on my chart reading skills. I would like to post a couple charts with my analysis and possibly get some input from this group. I'm pretty new to Elliot Waves and Fibonacci Retracements. Anyone willing to participate? I'm hoping we can learn from each other with this.
On the EUR/USD
Fibonacci: Price seems to be retracing. I will be watching 1.12533 (0.618) for a possible long entry. When I draw multiple Fibonacci from the recent swing high to multiple swing lows, there's an overlap at 1.12360 which indicates a strong support.
Elliot Waves: I see the 3rd wave has formed and the price is retracing to create the 4th wave. I think the 4th wave will complete the previously mentioned 1.12533 (0.618). Looking to enter and ride the 5th wave from there.
I used M Pivots to try and predict the days range for Monday from 1.12042 to 1.13190.
Abandon Trade: If price drops below 1.12360 and a new candle is formed there, I will consider this a possible reversal instead of retracement and abandon this setup.
Neutralize MACD: Because there was a recent big move, I would like to think that by the time the price hits 1.12533, the MACD will neutralize.
Summary:
1. Watch for the price to hit 1.12533.
2. Enter when the candle that touches 1.12533 closes or set my buy order 5 pips above 1.12533.
3. Set my SL at about 10 pips below the 0.382 Fib level.
4. Set my TP at about 1.618 Fib Level. This would give at least a Risk/Reward Ratio of about 2.7 with about 77 pip gain.
