blindly without any idea where to exit! Notice that the Stop Loss below the
trend line reflects the current market volatility. It is not (and never should be) a
fixed number of pips. The same should hold for the Take Profit. You cannot just
decide that 50 pips is enough and you would exit the position. 50 pips is very
different on minute time frame and daily time frame.
There are two great methods to find the Take Profit level:
1. Projection method – easy
2. Fibonacci method – using several Take Profit levels, a little complex,
but better
Let's focus on the first one; The Projection Method.
1. Measure the greatest width of the pattern.
2. This pip value will be used for the Take Profit.
Use the same method for triangles, wedges, flags or single trend lines. As the
market breaks from the choppy zone, it normally travels at least the projected
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