This pattern has approximately a 71% chance of retesting the previous highs.
However, the market first of all has around a 50/50 chance of pushing up or down. We either see a break to the upside or a small 20% rollover before then continuing up to re test the previous highs.
Two ways of trading this.
1) the breakout buy stop order above channel high
2) The roll over and limit buy with stop loss below breathing room zone.
However, the market first of all has around a 50/50 chance of pushing up or down. We either see a break to the upside or a small 20% rollover before then continuing up to re test the previous highs.
Two ways of trading this.
1) the breakout buy stop order above channel high
2) The roll over and limit buy with stop loss below breathing room zone.