We have two possible long positions on the
DEU40
.
1. If price touches the first blue area, check if there is divergence on either MACD or stoch. At the moment we can see MACD diverging from the price. If step 1 is fulfilled, continue.
2. If step is 1 fulfilled, we want to see either a double bottom or w/m pattern forming on 4H or 1H. Will demonstrate those patterns when the time comes. If step 2 is fulfilled, continue.
3. TP/SL will be set when necessary price action takes place in those areas. We will always wait for pullback no matter what. No pullback, no trade. If step 3 is fulfilled, continue.
4. Long when PRICE makes higher high. If it doesn't and instead makes lower low, abort this potential LONG and look for the next blue area.
Possible reversal near following dates: 15 des, 19 des, 24 des, 11,des
DEU40
. 1. If price touches the first blue area, check if there is divergence on either MACD or stoch. At the moment we can see MACD diverging from the price. If step 1 is fulfilled, continue.
2. If step is 1 fulfilled, we want to see either a double bottom or w/m pattern forming on 4H or 1H. Will demonstrate those patterns when the time comes. If step 2 is fulfilled, continue.
3. TP/SL will be set when necessary price action takes place in those areas. We will always wait for pullback no matter what. No pullback, no trade. If step 3 is fulfilled, continue.
4. Long when PRICE makes higher high. If it doesn't and instead makes lower low, abort this potential LONG and look for the next blue area.
Possible reversal near following dates: 15 des, 19 des, 24 des, 11,des
Comment:
The reason as to why I wanted to disregard this chart, was because I couldn't zoom in to Shorter timeframe. But since i've been asked to update this chart, why not. Price respected the first blue Level.
