On Sept 10, 2013, we received an Ichimoku 4 time frame Buy email alert on the Cocoa futures. The email alert is shown below:
Cocoa futures had moved up drastically. As a result, it had a very strong momentum. A big pull back would be drastic to a point, it would go back into the consolidation pattern. Therefore, we setup for a minor pull back trade where it retest the support of the consolidation pattern. The entry would be 2537, initial stop of 2522, and a preserve mode of 2583. This would give us a 15 pts initial stop and a 46 pts min. reward. The min. reward/risk would be 3:1 i.e. 300%. Here is the chart setup:
Currently, we are in preserve mode with a stop of 2568.
If you would like to learn how to trade like an institutional trader or learn more about our multi-timeframe email alerts, go to www.ichimokutrade.com or email us at info@eiicapital.com
EDUCATIONAL USE. Commodity Futures Trading Commission, Forex, Futures, Equity and Options Trading has large potential rewards, but also has large potential risk and may not be suitable for everyone. You must be aware of the risks and be willing to accept them in order to invest in these markets. Do not trade with money you can not afford to lose. This is neither a solicitation nor an offer to Buy/Sell. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed on this document. The past performance of any trading system or methodology is not necessarily indicative of future results. All information provided on the Blog is for educational purpose.
