This is a perfect example of the market sometimes not going your way. I shorted on the first bearish flag thinking of course that this is one of the strongest indicators of market direction and I got burned (lost a little money). My mistake: Not looking for other signals. In this case the 20ema crossed over 50ema sending the price up. Sometimes you have to look at more than 1 indicator or pattern, this isn't always the case but it is better to have 2 signals than one.
The second time both the indicator and chart pattern aligned perfectly together and as a result the market dropped as expected.
I want to be clear that you should never jump back in so fast in a trade, personally after a loosing trade I step back for a day or two or trade another pair. But in this case the analysis was strong and it led me to some profits.
The market is always going to do what it wants, all we can do is analyze, prepare our risk management and execute.
The second time both the indicator and chart pattern aligned perfectly together and as a result the market dropped as expected.
I want to be clear that you should never jump back in so fast in a trade, personally after a loosing trade I step back for a day or two or trade another pair. But in this case the analysis was strong and it led me to some profits.
The market is always going to do what it wants, all we can do is analyze, prepare our risk management and execute.