Here's a trade I took yesterday on EA.
- Downtrend, with lower highs and lower lows being created.
- Nice reaction from 0.786 fib level and then a big bullish confirmation candle to the downside (my entry).
- Price made some decent moves to the downside and is currently reacting nicely at 0.618 fib level.
The price brokeout of a 5 - months rectangular consolidation (range). The price is a approaching a predicted ascending channel resistance + trend based fibonacci extension level (1). Possible price action pattern indicated.
For more than 2 months now, EurAud is trading in a range with a base on 1.61 zone and a top at 1.65.
Now the pair is approaching the low of the range and I expect a rebound from here.
I'm looking for a signal to buy in this zone for 1.64 target.
Interim resistance is at 1.6250
Patience pays, remember every level will eventually be broken. got some positions in (0.01 lots) there are 2 scenarios here.
1.My stops will be hit.
2.My tp will be hit.
either way i have accepted a loss before ive accepted a win.
Abit of advice from a noobie, before you take a position dont have expectations. so dont go into a trade with winning in mind....
At the moment we have this pair ranging after it's trend line breakout on Friday creating uncertainty whether it will return to the downside or not. Patience patience patience, let it breakout to either side of the box THEN enter!