We have a bearish weekly trend therefore we will be looking for bearish entry points.
The price has retraced 50% from the last move (red line on chart), which is a previous support and now resistance line.
Candlestick analysis: We have an large bullish engulfing candlestick.
EMA at a Bearish cross.
Fractals bearish signal.
The price has retraced 50% from the last move (red line on chart), which is a previous support and now resistance line.
Candlestick analysis: We have an large bullish engulfing candlestick.
EMA at a Bearish cross.
Fractals bearish signal.
Trade active:
the price has hit resistance and bounced back to the original support. This is the third time support has been hit which makes it weaker. In addition to that there is a possible formation of a head and shoulder pattern. Which may be an indication that the price will drop passed the resistance.
Trade closed: stop reached:
Stop loss was reached. My stop loss was reached because of a economic data released which created high volatility during the afternoon. It also seems like my stop loss was to low it should have been at least at 1.5 ATR.