So back on Nov. 17th, more than a month and a half ago, I posted this trade about this pair:
There was a that was filled and after a small test of the crab's PRZ, prices took off to the upside. Now I didn't get this trade since it got stopped out when prices dropped into the PRZ, but I did get another LONG trade later after prices had retraced back down somewhat. Here's that trade post:
So the point that I'm making is that the in my analysis clearly indicated this uptrend. And I called it more than a month ago. It is what my reading of the chart and my analysis said would happen....and it happened!
So now what is happening is that prices have now reached some critical levels against some MAJOR SR zones. And if these zones hold, then we should see prices now retreat and retrace.
So for this uptrend, I have counted it as a wave (1) of a possible 5-wave wave (C) up. If this is a wave (1), then what we should be seeing next is a wave (2) retrace of the wave (1). What could happen now is that wave (2) could unfold in a .
In the 4hr chart above, there is a POTENTIAL that is now in play with the C point being established now. If that C point holds, then we should be seeing prices decline along the CD leg of that right on down to that rising TL which would serve as the lower TL of that possible wave (2) triangle. There was also a COMPLETED to which prices are now into the PRZ of that .
From Nov. 18th to now, we have seen this pair on the rise in what I see as the beginnings of the wave (C) up. If this is indeed the wave (C) up, then this recent uptrend from Nov. 18th should be only the wave 1 of the possible 5-wave move up. What is also possible is that we will now see a couple of weeks of consolidation going on in what would be a barrier triangle. Of course, it could just keep going up......
On this , you can see better that Completed but you can also see that large POTENTIAL Bat (blue) whose B point line as well as some other MAJOR SR Structures near it are providing resistance. You can also see how that completed (orange) fit into the overall picture and showed the recent uptrend. Also, I have drawn in the POSSIBLE wave (2) triangle.
MY TRADE PLAN
I and my members are already in on the SHORT side for this trade. I am watching for that POTENTIAL to get filled. From there, I would take some point near the completion to take profits. I'll be watching closely for signs that there will be a triangle forming. If so, then I'll be trading the triangle. Stops go above the recent highs.
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Please keep in mind that I am not giving any trading signals or trade calls here. Only providing my own trade thoughts for your benefit and insight as to my trading technique and style. Please don't ask if you should or should not take the trade or ask for stop loss and take profit levels. Any SL or TP given on my trades are my own I have used for my trade and are not recommendations for you to use. If you are not sure, then you do not have a trading plan for yourself in place. I suggest you make one before you continue to do any trading!
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