Support Breakdown: Go Short with a Sell Stop

Price has found support at the same level several times, but each bounce is weaker than the last. Once support breaks, a sharp drop often follows.

Goal

Place a Sell Stop just below support to go short when it breaks, and give your short a stop-loss.

Enter with a Sell Stop and close the trade at a profit
Every position has a stop-loss
No stop-out

Rules

Starting balance $10,000, leverage 1:100, spread 0.00012. 1 lot = 100,000 units.
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Review: Sell Stop: Selling the Breakdown, Going Long vs. Going Short, Stop-Loss (SL) and Take-Profit (TP)

Risk warning: forex, CFDs, options, futures and crypto assets usually involve leverage or high volatility, and you can lose more than you put in. This lesson only teaches the concepts; all numbers are for illustration and are not investment advice.