You can tell by looking at the chart on the right that I'm a bit conflicted about how to approach this trade. There is not always just one way to enter a trade. Sometimes a set up gives you more than one alternative in getting into a trade. This pair has formed a flag or pennant at the end of the last move up. It can be viewed two ways: 1) as a channel trade with the upper and lower borders defined by the horizontal blue lines, or 2) as a converging triangle trade defined by the violet lines. There is no single best way to take this trade. You might also consider mixing the two. If you took the triangle trade (a bit riskier as you are getting in before the price closes above the recent high) on the long side, and the channel trade on the short side you'd get in a bit earlier and potentially put a few more pips in your pocket. I will probably take the triangle trade and if so, I'll put my stop loss at at least 10 pips on the other side of the opposite side of the triangle. Move to break even at +50. I'll keep you posted.Happy Trading!
