Hi guys,
as usual i start my analysis on the daily timeframe. In this case, if you zoom out you'll see the price is actually on a daily resistance level that has played a decisive role multiple times in the past. On lower timeframes you'll see there's a completed Gartley pattern that is still valid and has not hit first targets. In addition to that, we've got an engulfing candle that in the hourly timeframe is represented by a double top with RSI divergence broken to the downside that is now retracing back. Last but not least, we're up against a psychological threshold (1,52).
All these clues together make me think we're headed downside, and this is why i'm shorting it. Stops above X, targets as shown.
If you have questions, feel free to ask.
Otherwise, see you in the next chart!
as usual i start my analysis on the daily timeframe. In this case, if you zoom out you'll see the price is actually on a daily resistance level that has played a decisive role multiple times in the past. On lower timeframes you'll see there's a completed Gartley pattern that is still valid and has not hit first targets. In addition to that, we've got an engulfing candle that in the hourly timeframe is represented by a double top with RSI divergence broken to the downside that is now retracing back. Last but not least, we're up against a psychological threshold (1,52).
All these clues together make me think we're headed downside, and this is why i'm shorting it. Stops above X, targets as shown.
If you have questions, feel free to ask.
Otherwise, see you in the next chart!
Trade closed: target reached:
First target hit! Stops to BE
