$TRUMP Long Position Analysis
Position: Liquidated Long of $7.3K at $19.448
Entry: $19.448
Target: $21.00
Stop Loss: $18.50
Analysis:
In this trade involving $TRUMP , the entry point was set at $19.448, strategically chosen based on support levels and market sentiment.
The target of $21.00 represents a potential resistance area where profit-taking may occur. The stop loss at $18.50 is established to limit potential losses in case the trade moves against us.
Risk-Reward Ratio Calculation:
Risk per Share: $19.448 (Entry) - $18.50 (Stop Loss) = $0.948
Reward per Share: $21.00 (Target) - $19.448 (Entry) = $1.552
Risk-Reward Ratio: $1.552 (Reward) / $0.948 (Risk) = 1.64
A risk-reward ratio of 1.64 indicates a favorable setup for the $TRUMP trade, suggesting that for every dollar risked, there's a potential gain of $1.64. This analysis reinforces the importance of a calculated approach in trading.