The previous downward impulse is a sign of a trend. We have a clearly visible consolidation and after that the current attempt of the market to return. The formation that the market creates from this attempt is called a rising wedge. It is a known bearish formation that gives us the opportunity to prepare for a short trade.
This formation alone is not enough for blind trading. Finding the trigger for the trade based on the price action trade will be key to the realization of the trade itself.
On the basis of this setup, the stop loss would be slightly above 2020 dollars. The expected profit is in the area of the previous consolidation, which is between 1300 and 1000 dollars. This trade is definitely a swing trade that should last for a few days.
This formation alone is not enough for blind trading. Finding the trigger for the trade based on the price action trade will be key to the realization of the trade itself.
On the basis of this setup, the stop loss would be slightly above 2020 dollars. The expected profit is in the area of the previous consolidation, which is between 1300 and 1000 dollars. This trade is definitely a swing trade that should last for a few days.
Trade active:
Trade is developing in our favor. In this case, I have not decided to take profit for now. I am waiting to see the reaction of the market at the previously announced levels of 1300 to 1000 dollars.
For further management of the trade, I will rely on the price action reaction that I will see at lower levels. For now, there is no reason to take profit.
For further management of the trade, I will rely on the price action reaction that I will see at lower levels. For now, there is no reason to take profit.
