AB=CD pattern is being painted by Price.
Weekly trend is bearish
Daily shows a strong bullish movemen which has retested the consolidation zone.
The price has not made it to the larger 61.8 level, finding a position in between.
From the one hour time frame there is a clean AB=CD retesting the previous structure. The trendline has been broken. There is also a Star formation (key reversal pattern)
I have not seen any divergence.
However a reward of 113 pips is possible.
Entry below the bearish candle stick would risk 8 pips if stop loss is placed around the structure level, or 40pips if at 61.8 level.
(1:2.8 & 1:7) depending if you are conservative or willing to take a tighter entry.
Weekly trend is bearish
Daily shows a strong bullish movemen which has retested the consolidation zone.
The price has not made it to the larger 61.8 level, finding a position in between.
From the one hour time frame there is a clean AB=CD retesting the previous structure. The trendline has been broken. There is also a Star formation (key reversal pattern)
I have not seen any divergence.
However a reward of 113 pips is possible.
Entry below the bearish candle stick would risk 8 pips if stop loss is placed around the structure level, or 40pips if at 61.8 level.
(1:2.8 & 1:7) depending if you are conservative or willing to take a tighter entry.
Comment:
Price is currently caught within a small range which is generally respecting the trend line.
The bearish engulfing made earlier on the 4 hour was a good entry point.
The bearish engulfing made earlier on the 4 hour was a good entry point.
Comment:
Price is still respecting the trend line but in a bearish motion. We need a good catalyst to help send it down
Price has now settled around the descending trend line zone.
A rejection pin bar has formed there. Tbis is also an area from the last big swing from high to low. (There was a lot of structure in play)
For now I expect a new 61.8 to form here.