- PIN BAR HIGH INVALIDATED
SHORT'S STOP ARE TRIGGERED
MORE BUYS ARE TRIGGERED
PUSH PRICE HIGHER TO BIG MONEY'S SELL ORDERS
FOLLOW BY PLUNGE.
FOLLOWED BY LONG'S STOP TRIGGERED.
FOLLOWED BY MORE PLUNGE.
IN SHORT, THEY ARE CREATING THROUGH STOPPING TRADERS OUT.
HIGH READING D1
KEY RESISTANCE 2.0800 - 2.0900
USUALLY I WONT ATTACH ATR, BUT I HAVE TO HIGHLIGHT THAT GBPNZD IS TRADING AT 244 PIPS ATR.
ONE OF THE MOST VOLATILE PAIRS I OBSERVE.
EVEN THE H1 HAS AN ATR OF 63.
THIS IS HOW I WOULD DESCRIBE STOP HUNTING, WHICH IS HIGHLY PROFITABLE IF ANTICIPATED WELL.
SORRY FOR THE LONG EXPLANATION BUT IT IS KEY TO UNDERSTANDING WHY THIS TRADE WOULD WORK.
SUBSCRIBE COMMENT LIKE IF YOU AGREE OR DISAGREE.
BUT OF COURSE, DUE TO THE RECENT STRENGTH OF GBP. PRICE COULD SHOOT OUT OF 2.1000, MAKING THIS TRADE INVALID. TRADE IS HIGHLY SPECULATIVE, RISKY. STRONG CONFIRMATION IS NEEDED.
IMO RSI is good for trend based and "normal" ranging currency pairs.
I wouldnt exactly classify the 800 pips move in 6 days or so as "normal".
But still, There you go RSI divergence H4.
(Will be great if D1 closes with an awesome pin bar.)
ATR for H4 is 100 pips, thus the pin bar must be :
- more than 100 pips
- closed below 50% of the body
- bearish in nature
- cutting but not closing above 2.09 ( this is assuming the resistance there could contain the push)
- if not, cutting but not closing above 2.1000 (this is the ultimatum, huge volume i would speculate).
Please correct me if im wrong, would like to hear your comments too :) professional pin bar trader.