Hi guys. Heres another update on EA. Since im in this trade, i will constantly give updates when i see a development occuring.
This is going to be on our current price action that occured on friday.
This is on the daily timeframe.
So we ended up breaking below the downsloping trend channel and major resistance red horizontal line.
Note: If we confirm below this, it means the trend has changed, we will most likely drop in price further. The red horizontal line will act as resistance causing the push down in price, alng with the lower end of this downsloping channel.
However note, there is only 1 candle below this. SO technically this has not yet confirmed a breakdown from this.
We must have patience. AS far as im concerned this trade is still in play.
ALSO note, the candle pattern. I believe, correct me if im wrong. This is a SOUTHERN DOJI. Normally when this appears its known to be a BULLISH reversal pattern. But it is also noted by many experts that dojis can lose their potency in a decline. So its not a stand alone candle pattern to be used. Therefore, we need to see what plays out next week, and what the next couple of candles print.
Ideally we would like to go above the red horizontal line and lower end of downward trend channel. I would also like to see big bodied candles to close above the mentioned lines.
Hope this helps. Please comment, boost and follow if you like this content.
I will continue to update.
ALso check out my other EA charts, posted below.
Disclaimer: The ideas expressed are my own opinion. This is not financial advice.
This is going to be on our current price action that occured on friday.
This is on the daily timeframe.
So we ended up breaking below the downsloping trend channel and major resistance red horizontal line.
Note: If we confirm below this, it means the trend has changed, we will most likely drop in price further. The red horizontal line will act as resistance causing the push down in price, alng with the lower end of this downsloping channel.
However note, there is only 1 candle below this. SO technically this has not yet confirmed a breakdown from this.
We must have patience. AS far as im concerned this trade is still in play.
ALSO note, the candle pattern. I believe, correct me if im wrong. This is a SOUTHERN DOJI. Normally when this appears its known to be a BULLISH reversal pattern. But it is also noted by many experts that dojis can lose their potency in a decline. So its not a stand alone candle pattern to be used. Therefore, we need to see what plays out next week, and what the next couple of candles print.
Ideally we would like to go above the red horizontal line and lower end of downward trend channel. I would also like to see big bodied candles to close above the mentioned lines.
Hope this helps. Please comment, boost and follow if you like this content.
I will continue to update.
ALso check out my other EA charts, posted below.
Disclaimer: The ideas expressed are my own opinion. This is not financial advice.
Comment:
We are currently in the process of breaking out of this downward trend channel to the UPSIDE. If todays candle closes, how it is.... This is also a bullish engulfing candle. I will be adding to my position.
