Hello all! Months and months of research, views, learning and reading and im finally in a better place for the forex market.
A beautifully executed trade and the power of indicators are truly amazing.
Now an author posted a short over the weekend and i kept a very close eye on this, the bearish divergence which was forming was almost wiped out with the little uprise this morning but the 4h closure confirmed a very good set up.
-Bearish divergence- a very small but valid one. Some people may use candle closures but ive been back testing wicks and it seems to work for me so far.
-The RSI was almost at its previous peak point but failed to boil further up.
-Strong resistance and wicks upto 126.592 , but this was deadly and todays push up led to a higher surge 126.691 and most traders would've potentially exited to a loss but in fact the candle closure was hugely bearish.
-Fibonnaci - my favourite power of all, if we look at the huge drop from 127.500 to 124.288 this retracement and push back up confirmed a wick today which almost hit the manipulation region of the 236 Fib and now looks poised to take a dive deeper.
If we count today's wick as the top for now then this retracement could easily take us back down to 124.839 if the 236 Fib level is to be respected again.
Now obviously this doesn't mean that we will just fall straight down there is plenty of support and fib levels which would need to be passed but i will monitor as this move continues down. I will be closing portions of my short as we fall down, remember price may react to news and this is always something to be monitoring.
Take it from me, blindly entering trades and listening to others with no knowledge is pointless. Study hard, learn the indicators and use it to your own advantages because thats how you'll be successful. Patience in any trade and clear strategic management for entering and exiting is necessary.
If you enjoyed the chart and even agreed with ideas please do leave a like! As always stay safe and trade wisely folks. Peace out
A beautifully executed trade and the power of indicators are truly amazing.
Now an author posted a short over the weekend and i kept a very close eye on this, the bearish divergence which was forming was almost wiped out with the little uprise this morning but the 4h closure confirmed a very good set up.
-Bearish divergence- a very small but valid one. Some people may use candle closures but ive been back testing wicks and it seems to work for me so far.
-The RSI was almost at its previous peak point but failed to boil further up.
-Strong resistance and wicks upto 126.592 , but this was deadly and todays push up led to a higher surge 126.691 and most traders would've potentially exited to a loss but in fact the candle closure was hugely bearish.
-Fibonnaci - my favourite power of all, if we look at the huge drop from 127.500 to 124.288 this retracement and push back up confirmed a wick today which almost hit the manipulation region of the 236 Fib and now looks poised to take a dive deeper.
If we count today's wick as the top for now then this retracement could easily take us back down to 124.839 if the 236 Fib level is to be respected again.
Now obviously this doesn't mean that we will just fall straight down there is plenty of support and fib levels which would need to be passed but i will monitor as this move continues down. I will be closing portions of my short as we fall down, remember price may react to news and this is always something to be monitoring.
Take it from me, blindly entering trades and listening to others with no knowledge is pointless. Study hard, learn the indicators and use it to your own advantages because thats how you'll be successful. Patience in any trade and clear strategic management for entering and exiting is necessary.
If you enjoyed the chart and even agreed with ideas please do leave a like! As always stay safe and trade wisely folks. Peace out