ForexTrendyScanner and two great methods to find the Take Profit level -recommendations.
Where to get your profit?
There are two great methods to find the Take Profit level:
1. Projection method – easy
2. Fibonacci method – using several Take Profit levels, a little complex, but better
Let's focus on the first one
Let's focus on the first one
The Projection Method
1. Measure the greatest width of the pattern.
2. This pip value will be used for the Take Profit.
Use the same method for triangles, wedges, flags or single trend lines. As the market breaks from the choppy zone, it normally travels at least the projected one note about the flags and wedges;
As the price travels between the boundary lines, it happens that the trend line is not broken and the pattern becomes deeper, or even no more valid. In such a case cancel the order and place a new one to reflect the current situation.
Sometimes the situation is not going as you had planned and the price breaks through the other trend line. Then simply cancel the order and forget the pattern. Rather not taking the trade than taking a bad trade is the key of
successful trading. There will be plenty of other opportunities!
Keep in mind that chart patterns can appear and disappear, or morph into another patterns. An emerging pattern
is not confirmed until the relevant trend line is broken.
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