https://www.tradingview.com/chart/1846OBc1/After a strong move down that includes 3-4 legs(usually the last one remains bigger than others, easy for confirmation), creates a small range. Breaks above and turns into a faker to breaks below the range to wipeout trades from both ends. However, it doesn't break the low that was created by the lat bigger leg. Once this pattern is formed and immediate bounceback to range level, it is expected to reach a fib level above the faker.
Although I have shown 15 mins chart to show all candles, the trade can be played on 2 min/5 min in a better way for a quick small profit. Here expected touch to 0.618 to 0.65.
Buy order below the range, stop loss below the low created by the bigger leg, take profits on each fib level above the faker.
Although I have shown 15 mins chart to show all candles, the trade can be played on 2 min/5 min in a better way for a quick small profit. Here expected touch to 0.618 to 0.65.
Buy order below the range, stop loss below the low created by the bigger leg, take profits on each fib level above the faker.