Using Session Highs and Lows as Targets

[Fairman]

Using Session Highs and Lows as Targets

Targets work best when they are based on where other traders' orders likely sit. Session highs and lows are natural candidates because many traders reference them.

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Key levels to consider:

- Asian high and low
- London high and low
- Previous New York session high and low
- Previous day high and low

How to use them:

1. Mark these levels before your session.
2. Identify your bias and the nearest level in that direction.
3. Use that level as your first target.
4. Consider beyond it only if structure supports continuation.

Examples:

- A buy after a London sweep of the Asian low might target the Asian high first, then the previous day's high
- A sell after a sweep of the previous high might target the London low

Practical tips:

1. Place take profit slightly before the level. Price often reverses just before or after sweeping it.

2. Use partial profits at the first level.

3. Check reward-to-risk. If the level is too close, consider skipping the trade.

4. Watch how price behaves as it approaches. Rejection candles may suggest an earlier exit.

5. Record how often price reaches each type of level on your pair.

Targets based on real levels feel more logical than random pip counts, and they make your plan easier to follow.

Know where the crowd's orders are, and aim for them.

[Fairman]

Worked example of how I'd use it. Long from a London pullback, first target the Asian high, second the previous day high if it's nearby. If the Asian high is already swept by the time I enter, I skip it as a target and look further out. Swept levels have usually done their job. One adjustment that helps: place the target a few pips before the level, not right on it. Plenty of orders sit at the exact high, and price often reaches just short before reversing. Missing a target by two pips and watching the trade come back to entry is frustrating, and leaving a small buffer avoids most of those cases.

[Fairman]

Session highs and lows are targets, sure, but they're also places where price often stalls or reverses. If you're holding for a level beyond the session high, expect a fight at the session high first and plan whether you'll take partials there. I usually take half off a few pips before the Asian or London high and move the stop to breakeven, then let the rest run toward the previous day's high. If price reverses hard at the first level, I've banked something. If it breaks through cleanly, the runner gets the bigger move. Either way the decision was made beforehand.