This contracting triangle is also a POTENTIAL with the target line pointing down towards the completion of the patterns I have on my charts.
If this scenario were to play out, then what we will be seeing is the completion of this triangle's leg 5 soon which will mark an area where there will be another pretty good selling opportunity. But be aware that this triangle can also be a continuation pattern for the current uptrend. For that to happen though, prices would need to exceed and close above the upper TL of this contracting triangle as well as the upper TL of the larger expanding triangle before I would consider an uptrend continuation to be in place.
MY TRADE PLAN
I will be looking for prices to move up some to complete the pattern. I will look to ADD to my existing SHORT positions in this pair playing that and also the D leg of the larger expanding triangle as well as the and bat's CD legs. But for now, for this scenario, I am waiting. Still SHORT from the previous trade though.
Please keep in mind that I am not giving any trading signals or trade calls here. Only providing my own trade thoughts for your benefit and insight as to my trading technique and style. Please don't ask if you should or should not take the trade or ask for stop loss and take profit levels. Any SL or TP given on my trades are my own I have used for my trade and are not recommendations for you to use. If you are not sure, then you do not have a trading plan for yourself in place. I suggest you make one before you continue to do any trading!
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Year-to-date Profits: +5,794 pips.
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