Trade with Caution due to Elections
Break and retest of zones
( rules on the chart )
harmonics scanner confirms SHARK pattern for a BUY...
1:1 Risk/Reward
30pips SL
30 pips TP
I understand this trade is likely to be a loss.
Its against the trend and ideally our entry should be at the Orange zone.
However, I've noticed that sometimes potential trades that seem bad can have good outcomes. Although this trade has much less confluences it at least has one which is that it is at a major zone where price has reacted many times before.
Just an idea, saw a flag pattern and looked quite nice.
momentum is still bearish however so I won't be in this trade for so long.
I would probably exit this trade before it touches the EMA.
Potentential short.
Why? this area seems to be a strong pivot point. Looking left you can see price has pushed to the downside quite heavily, this indicates selling pressure around this area and therefore I'm expecting price to react at this level.
Price may not push all the way down to the bottom zone please be aware that price may push down to my target and...
So now we can see what has happened and what went wrong on our trade yesterday. We can see how price pushed up through the zone to gather more liquidity. The price faked out through our zone, trapped the buyers and reversed. Nothing to worry about - only a 1% loss. IF he had a higher stop loss we could have managed to stay in it. 1925.00 was a key level for gold.
