How to read PipHut’s Take-Profit (TP) levels
As a follower of PipHut you have probably seen us write our targets like this:
"Targets at 20/25/30/25 pips for 100 pips profit".
What does this mean? This means that Target 1 is at 20 pips, Target 2 is at 45 pips, Target 3 is at 75 pips and Target 4 is at 100 pips. We give targets this way because trending S/R levels will rise or fall throwing off any exact prices we give. For example, if today's signal said:
"We are looking for a break of rising trend support (currently at 1.3500 and rising)"
If we listed out the exact price levels it would look something like this: "with targets at 1.3480, 1.3455, 1.3425 and 1.3400".
However since rising support, well, rises, after the current candle closes the support would no longer be at 1.3500 - it would be at something like 1.3515 - and the TP levels we listed would no longer be valid or make any sense. To get around this problem we list our TP levels as pip increments. For example: "with targets at 20/25/30/25 pips" would mean targets are at 1.3480, 1.3455, 1.3425 and 1.3400 when support at 1.3500 is broken (1.3500 - 20 pips = TP1, T1 - 25 pips = TP2, etc.). When the candle closed and support rose we would simply subtract the new levels from the new support price. For example if support were at 1.3515 now targets would be 1.3495, 1.3470, 1.3440 and 1.3415 (1.3515 - 20 pips = T1, etc).
How do you know where the support and resistance levels are if they are always rising and falling?
If you are a PRO user this is easy - you can view our charts for each pair, freshly updated every 10 minutes. You will also receive email alerts whenever a S/R level is broken or bounced off of.
If you are a free user it is a bit more challenging - if you are looking to emulate our support and resistance levels then you will a) only have access to the free EUR/USD chart (instead of the 5 pairs PRO users have access to) and b) you will have to try and draw our S/R lines on your charts by hand.