Explained Trade: Double Bottom Aggressive Entry

An aggressive long entry in second bottom of a Double Bottom. Bullish Harami candlestick formation (also known as Inside Bar) confirmed the entry. This is a long entry, so we wait for an additional confirmation candle to close before entering. This is one of the main differences between long and short entries. A general truth in trading is that the market goes down much faster than it goes up, so in short we wait for less confirmations before entering, unlike long trades in which we demand a second confirmation candle. Remember this truth via this analogy: "To build takes much more time than to destroy."

After confirmation was given, stop loss was calculated:
Stop loss was 30 pips - placed right below the low of the bearish candle. First profit target is the neckline - 80 pips profit. Risk:Reward ratio was 2.66 which is great and very profitable. Traded reached target within several hours. Price stopped on the neckline - trend was not so strong so we decided to eliminate positions on the neckline itself.

Result: +80 pips (+2.66% on Equity)