moneymaking
Short

EURUSD: BEARISH PENNANT FORMATION ON 4 HR !!!

FX:EURUSD   Euro Fx/U.S. Dollar
526 15 12
Hello Traders,

Here we have a VALID BEARISH PENNANT formed on FX:EURUSD             . This type of pattern is usually formed after a strong selloff, where after the strong bearish move, some sellers are taking profits while others are joining with the downside move. This eventually leads to a consolidation that is presented in the form of a BEARISH PENNANT. Do keep in mind that this is a CONTINUATION PATTERN and therefore we expect further downside move AFTER getting a valid breakout.

NOTE #1: If we get a break and close above 61.8% Fib level for XA leg, than that would be the 1st signal for this patterns invalidation. The 2nd or the main signal would be a break and close above the X point of the pennant. Also a break and close above 50 MA would add extra confirmation to the patterns invalidation.

NOTE #2: A breakout to the downside would be MORE favourable if we get a break and close below the 61.8% Fib level for BC             leg. That would confirm a further expected downside move, potentially up to the target.

Please feel free to AGREE or DISAGREE with this idea by leaving a comment below. Hit that thumbs up button (top left corner of this chart) if you like the idea. Thank you everyone for all the SUPPORT that you have given me so far, I truly appreciate it. Good luck everyone :)
moneymaking
a year ago
UPDATE #1: Hello everyone, we just got our 1st signal of this pattern possibly being invalid, after getting a close above 61.8% Fib level of XA leg. Note that the short entry has NOT been triggered yet !!
Reply
moneymaking
a year ago
UPDATE #2: Hey traders, market unable to close above X point on the pennant pattern and the 50 MA. This could end up being a false breakout, the BEARISH PENNANT PATTERN is still valid :)
Reply
moneymaking
a year ago
UPDATE #3: Hello everyone, market has broken and closed below the 61.8% Fib level for the BC leg, we can sell on the retest of either the 61.8% level or on the retest of pennant's lower part :)
+1 Reply
manijeh.kazemi.33 moneymaking
a year ago
hi SL?
Reply
moneymaking manijeh.kazemi.33
a year ago
Hey mate, actually no. This was a short trade and I was waiting for breakout to the downside, instead we 1st got a false breakout to the upside. Falling into this trap was avoided by waiting for a close either above X point of the pennant or the 50 ma. We did get a close above the X point, so in a sense you can call this an invalid pennant pattern now. So our entry never got triggered because we never got the breakout to the downside until now. If you want you still can sell it on the retest of 61.8% or the pennant lower part. Hope this make sense, let me know if you any further questions. All the BEST :)
+1 Reply
manijeh.kazemi.33 moneymaking
a year ago
THANK you very much I think so
+1 Reply
moneymaking manijeh.kazemi.33
a year ago
No problem mate, anytime :)
Reply
moneymaking
a year ago
Hi guys, just wanted to be clear about where we can enter short in this trade setup, I have labelled 2 different types of options to enter in to this short trade, see the chart below:

snapshot
+1 Reply
moneymaking moneymaking
a year ago
The 1st option will have stop loss of about -150 pips, while the 2nd option will have stop loss of about -30 pips.
Reply
manijeh.kazemi.33 moneymaking
a year ago
great thats very kind of you
+1 Reply
moneymaking manijeh.kazemi.33
a year ago
Your welcome :)
Reply
moneymaking
a year ago
UPDATE #4: Hi everyone, apologize for the late reply. Entered short at market with stop loss and target placed as shown in the chart below:

snapshot
Reply
IvanLabrie PRO moneymaking
a year ago
I'm in as well, but my stop is at 1.12289, and tp a bit higher at 1.1050.
Cheers!
+1 Reply
moneymaking IvanLabrie
a year ago
Great, good to have you on board as well mate. All the BEST :)
Reply
moneymaking
a year ago
UPDATE #5: Hey guys, unfortunately got stopped out on this setup. Focusing towards future trade setups :)
Reply
Ideas Scripts Chart
United States
United Kingdom
India
España
Italia
Brasil
Россия
Türkiye
日本
한국
Home Stock Screener Economic Calendar How It Works Chart Features House Rules Moderators For the WEB Widgets Stock Charting Library Priority Support Feature Request Blog & News FAQ Help & Wiki Twitter
Private Messages Chat Ideas Published Followers Following Priority Support Public Profile Profile Settings Billing Sign Out