What I base my trades on is called Technical Analysis. I have...

What I base my trades on is called Technical Analysis. I have been doing Forex for close to 5 years now, and who ever trades currencies will tell you, you need a great appetite for risk. But with risk comes rewards and in my opinion whether it be share trading or forex TA is the answer.

With SIG, I called 72c to be the floor as it has been a strong support back in Dec 2014, Sep 2015 and Sep 2016. Furthermore, the SP yesterday convincingly pierced through the 200DMA. Under the TA rules, the SP has to bounce back to the 200DMA to test it as a possible resistance from here on. This is exactly what the SP is doing now.

Now to answer your question, no I did not see this falling below 72c due to the reasons stated above. Furthermore, by putting a stop loss at 70c you limit your losses. Even though I was confident yesterday about 72c, stop loss was to limit my risk just in case.

As you can see, this has worked out pretty fine so far. Hope this answers your question.

Cheers