Which box is yours
The two boxes priced on the same gold pullback, the trade the tight box misses entirely, and the rule for choosing between them.
Both boxes sit on the same leg, so the only way to choose is to price the trade each one gives you.
The wide box, priced
Gold has broken down at 2,415 and is rallying back. It crosses 2,420, so you are inside your zone and watching the 15 minute chart.
Price reaches 2,422 and a 15 minute candle closes at 2,421, below the last small swing. That is your trigger, so the short goes on there.
The stop sits above the whole leg at 2,441. That is 20 dollars of risk, and the pool under 2,396 is 25 dollars away.
Entry 2,421, stop 2,441, target 2,396. About one and a quarter times the risk.
The tight box, priced
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