In the daily timeframe, I have observed a shooting star candle with an exceptionally long tail and a very small body. This candle appears to be quite promising.
If today's candle closing price falls below 1.0860, it can serve as confirmation. Furthermore, if today's price experiences a significant drop, creating a strong bearish candle, it is highly likely that the candle pattern will indeed form.
For additional confirmation, in the H4 timeframe, if the closing price is below 1.0855, it would provide a strong confirmation signal. Alternatively, if you are eager to enter a trade and can't wait for the H4 confirmation, you may want to check the H1 timeframe to see if the price will close below 1.0855 or doing some retest.
The lack of confirmation to enter includes the daily candle closing below 1.0869 but not showing big bearish candle. Furthermore, on the shorter timeframes, there was a false breakout at 1.0855. I should have updated this idea to cancel the entry, but due to time constraints, I forgot to double-check and make the cancellation update. I opened a position for half of my risk and will open the full position when a clear confirmation is evident. However, this trade signal will still be accounted for as a full loss in this month's bookkeeping.
the shooting star was also formed on a resistance and a falling trendline and on the 1hr tf we see a head and shoulder with a broken and retested neckline which made me too go short but unfortunately the market didnt follow this time
Elbruks
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Appreciate your thoughtful analysis.
parindaulat
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Whats u call now Will it come down
Rich_From_Home
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@parindaulat The lack of confirmation to enter includes the daily candle closing below 1.0869 but not showing big bearish candle. Furthermore, on the shorter timeframes, there was a false breakout at 1.0855. I should have updated this idea to cancel the entry, but due to time constraints, I forgot to double-check and make the cancellation update. I opened a position for half of my risk and will open the full position when a clear confirmation is evident. However, this trade signal will still be accounted for as a full loss in this month's bookkeeping.