H4 - Bearish divergence followed by bearish convergence.
We may now look for pullbacks.
Once the pullback completes itself, we may start looking for sells.
Confirmations for Cypher Pattern:
- A to B must touch 0.382 but cannot exceed 0.618
- B to C must touch 1.272 but cannot close below 1.414 (Trend-Based Fib Extension)
- C to D must touch 0.786 of X to C
- First TP at 0.618 of D to C (Fibonacci)
- Second TP at 0.382 of D to C (Fibonacci)
- Third TP back to point C
Between A to B we can see a minor 2618 ...
On Friday's Options Action, the crew analyzed the performance of Netflix (NFLX) stock. NFLX has recently broken out to the upside of a 10 year ascending wedge formation, which is extremely bullish. That bullish trend has however turned parabolic, which suggests that there are greater risks to the downside and primed for a possible correction. Coupled with a double ...
BTCUSD has been going through an extended pullback pattern. The minor trend remains down and the time for breakout or pullback failure is drawing near. The supply line currently sits around the level $6700, failure to breakout around this area will potentially mean that BTCUSD is going much lower to find demand. The spring daily candle around previous lows is an ...
So the pullback trade that we were looking at worked out & has made it's way back to the neckline level of structure. We are now at what i like to call a "decision point" Essentially IF price is able to violate this current level od structure THEN we're likely to continue to our next price projection.
Something that a lot of newer traders don't understand is ...
If Retest wait to retrace at bottom major structure for a long pullback! If Breakout, DON'T TRADE BREAKOUT.. I Wait for a pullback from Previous Bottom high structure then trade a long.
W1 - Potential second false break with bearish divergence.
D1 - Price is currently near the middle of the range.
H4 - We may now look for pullbacks and sells.
As we can see, 2nd reversal Pinbar near the Support Level may be a signal for long entry to catch some pips from pullback.
Stop Loss placed below the minimum of last 5 candles, D1 chart.
Take Profit placed below the Resistance Level.
RR: ~2,5:1
