Taking an aggressive S/R in the direction of the trend

SwingPRO Trade Example

USDCHF | 2013/06/06 | 80 pips

Description: This trade was held open for two days, with the initial break coming on the red line of the chart below. This was an aggressive support due to the long wicks that preceded it, but it was helped by the downward trend of the past few weeks, as well as several long-term tops put in under 9800 in mid-May. The pair then made a bearish pennant pattern before continuing downward. (ref# 1662)

Thursday, June 6th 2013 @ 7:37 UTC - Trade Setup: We will keep our short open, with our TP of 80 pips very achievable with the next major support not until 9340. Price is currently struggling to break below 9400 - the current threat to our trade - but with a strong downtrend and a SL that gives some room to breathe the odds are stacked in our favor (as much as they can be in forex!).

Friday, June 7th 2013 @ 6:22 UTC - Result: 80 pips Needless to say keeping our short open was the right call as price dropped over 200 pips from our entry point, netting us 80 as it passed through our take profit level.

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