As seen on my 4 hours chart, market made a double bottom
before pushing back up. I will either do a buy at this level or wait until market breaks and closes above the level identified on the chart. The reason for this is because although market made a double bottom
which is usually a sign of a reversal, sometimes market will turn around and invalidate this signal by making a new low and closing below the previous low. Even if market makes a new low BUT doesn't close below the previous low, then signal is still valid. Waiting to see if market closes above that level which will validate the double bottom
. If market breaks that level and holds, i will wait for a retracement before entering market but market doesn't always retrace and an opportunity to enter the market may be lost. Enter and exit at your own risk.
Please note that this chart is an opinion based chart only. Please trade at your own risk