Hi guys,
in front of you, there's the hourly chart of USCHF. The yellow box represents a daily level of structure that i've pointed out in my higher timeframe analysis; this is also associated with a strong overbought condition (more than 7 consecutive green candles on the daily) and a divergence on the 4H and 1H charts. In this case, we also have a double top that's telling us that we could have found the structure that can hold price's rally and start to reverse. I'm taking this short position because the conditions meet my trading plan, but this is very risky, since the trend is obviously to the opposite direction (for the time being). Be careful!
If you have questions/ideas, feel free to let me know.
Otherwise, see you in the next chart!
in front of you, there's the hourly chart of USCHF. The yellow box represents a daily level of structure that i've pointed out in my higher timeframe analysis; this is also associated with a strong overbought condition (more than 7 consecutive green candles on the daily) and a divergence on the 4H and 1H charts. In this case, we also have a double top that's telling us that we could have found the structure that can hold price's rally and start to reverse. I'm taking this short position because the conditions meet my trading plan, but this is very risky, since the trend is obviously to the opposite direction (for the time being). Be careful!
If you have questions/ideas, feel free to let me know.
Otherwise, see you in the next chart!
Trade closed: stop reached