- In this example, we will talk about confirmation entry.
- What is confirmation entry?
- Confirmation entry is shown in the picture above, and in this situation, we chose a safer order block for our entry.
- Below, we will break down the entire PA in detail and explain this example better.
1) We see that the momentum is present, the price has left an imbalance, and we have a nice candle close.
2) The price creates liquidity and returns to the retest, but in the end the price does not reach our order block, and here we have a missed entry.
3) The price impulsively broke through the low again, leaving the imbalance behind, and we see a nice candle close.
4) This second impulse can easily be a fakeout, so it is safer to wait for entry on the first order block
5) The price makes more liquidity that needs to be picked up
6) In the end, the price has taken out all the other traders who had open positions here, and our confirmation entry comes from where the price impulsively continues bearish.
-When you trade, you have to learn to read the PA in small details in order to better understand the PA and the language of the market.
- If this example helped you to better understand PA and confirmation entry, leave a like, and if you have any questions, you can ask below in the comments.