Reasons for sell: - Divergence forming on the 4H - Potential completion of wave 3 in this part of the correction
TP1 - Closest trend line (orange line). TP2 - If orange line is broken and price consolidates within that area, I would look for a further short to the larger timeframe trend line (blue line).
Comment
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Closed position for +1. Looking for a break of the consolidation. The fib 38.2 of the last swing low to high seems to be holding as support at present. If your bias is short, potentially look for a close below and re-test of that level.
Comments
patelsa
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Potentially. As there is divergence forming on the MACD at the new high. Prices looks to be going through a corrective structure at present, which could be part of a bigger ABC pattern to the downside. Hence the lower risk trade set-up.
It could also go to test the highs before continuing the correction.
It could also go to test the highs before continuing the correction.