It looks like our trade went further into profitability before reversing near the previoius low at 1.5860. We took profit on one lot for +30 pips, and we are still in the trade with one more lot. I think we will continue to see a move higher the closer we get to the ECB interest rate statement, which may be a good opportunity to add another lot short and adjust our stop loss as we may see a “buy the rumor, sell the fact” trade scenario.
So, I am creating any entry order to short one more lot at 1.5910. Set the stop loss at 1.5925, and we will have pt1 set at 1.5900, and pt2 set at 1.5870. If both lots stop out, we will still have the +30 pips to cover the loss. We have essentially created a risk free trade with 15 pips profit already locked in… isn’t that great??? Good luck and good trading!