Hello Fellow Trader! Key Points: - candle appear effort to fall on ultra volume - Flag pattern appeared after the downtrend - Price penetration flag pattern on ultra volume - Price breached the resistance area
If: the price rose to the support area and closed above it - this indicates that the structure is not in our favor and it would be wise to reduce exposure or close the position until a strong signal gives us reasons to re-enter.
The Risk: As traders, it is your job to mitigate the risk and only trade structures that provide high probability and great reward to risk ratios. If you are not comfortable with defined exit levels, experiment with Moving Averages to help set solid exit rules to protect your capital