two scenarios which could happen. price could bounce off the support turned resistance where it is at now or it could extend higher and then bounce off the next structure level.
Many are suggesting that this pair could drop even further and make new lower low and have cited potential bearish H&S pattern and prior strong bearish move to support the idea of continuation of the bearish trend. However I do not feel that this is likely for the following reasons: 1. Having dropped from 2008 high to 2012 low is now in recovery or retracement...
Head and shoulder reversal pattern drawn on the chart. Price is falling toward the neck line (resistance turned support) which is confluent with the 50-61.8% retracement area. Possible Long set up, will see how this one plays out.
USDCAD has had a long rally which started back in June last year. After nearly 3 quarters of run up the hill, the price action shows signs of an evident reversal. How can reversal be expected at the highs ? Studying the price action, we could see that the pair has had a very consistent uptrend for a long time with consistent pull backs and trend resumption but the...
1. Good Fundamental 2. Break pivot 3. Bullish Engulfing with RISING volume 4. Break Downtrend (short)
Hi all Risk Takers, Here's an idea written for short term traders, tech stock investors and all Apple fans. (1) On the 1 Hourly Chart, we observed clearly that price is trading in a general uptrend line, since May 2014. Evidence of Support are found during May 2014 and Oct 2014 (Up arrows). There are also signs of potential support around Jan 2015 period but...
As you can see in the chart, this whole down leg (from mid November) has been a sequence of break support, make lower low, retest breakout level (support turned resistance), break support etc. You can see in the chart where each retest has occurred and we are now at that level again. We are also ~$10 off the 10 November 2013 low. To me this says we should see a...
The point I'm trying to make with this chart is that currently taking no position at all is the best choice. A bet on a continuing bull market would result in a 1:1 risk/reward, which is bad. Shorting might be an option that I didn't consider.
Hi Fellow Risk Takers, Here is a Reversal Breakout idea on CISCO (CSCO). (1) During 2008 crisis period, price of Cisco has plunged from around $33 to as low as $13.50 (-56%), which signals an obvious bearish trend. (2) Between March 2009 to August 2011, price has consolidated sideways in a large range ($27.50 – $13.50). We also note the formation of 2...
What we have here on the GBPJPY is a potential Bearish Cypher pattern completion forming within a retracement leg of the underlying trend. This pair has spend 6 straight days being bearish so it wouldn't surprise me at all if we saw some relief. So the question is IF we're going to get a pullback THEN where is price action likely to go? 9See how I snuck that...
I'm now targeting the $265-$280 area. It turns out my descending triangle was actually a bullish descending wedge. I'm now long and watching $190 strong support. It may not be immediately, but somehow, sometime, we are going to reach that $270 area again. Price is bouncing at support as I type this, so I'm thinking this may be it despite the lack of a real...
Recently, Gold broke up above intermidiate resistance/neckline. On chart, you can see inverse Head and Shoulders pattern which usually leads to reversal of previous trend. Since Reversal candle on the 1st of January of 2015 it feels much more constructive. Nice 2 days of rally after that actionable signal. Then it broke up resistance at $1,204 which later became...
If we were to reverse here, this is how I see it playing out. We've already broken the neckline of the most recent double bottom, so we may be experiencing a small retrace, followed by the price shooting up. This pattern was well-documented at the low of $255 and seems to be following it a la textbook. In the last double bottom, the price retraced to the...
A clear reverse head and shoulders formation in Verifone after a solid earnings beat yesterday. I'm keeping a tight stop loss at 32.66 and looking for the stock to reach the 'neckline' which gives it about 13% upside. The risk/reward ratio is very appealing at approx. 5. There's also a bullish break above the 30 level for the stochastic oscillator. This indicates...
Key Trend Lines A couple interesting trend lines for you guys to watch out for. The white arrow is representing a 40% increase in 20 days. I do see a sharp move like this coming, once the current triangle is broken.
We potentially have a double top for GBPJPY on the 60 minute chart. If we close with the top of a candle or wick at 186.914 in the next hour or two we might see a reversal into the 185.83 area. SELL @ 186.37 BUY @ 186.91 (SL) BUY @ 185.83 (TP) Risk: 54 Pips Reward 54 Pips
Looking at previous hight (414 level) we have retraced more than 0.61 and there are good possibilities to reach even the 0,764 fib line. Meanwhile standing at MACD signal line it seems that selling pressure is losing strenght. So in my opinion we can have a look for a possible reversal with a double bottom pattern with an higher low. Good luck for your trading
The AUD/JPY daily chart displays consecutive lower highs and lower lows with a potential short setup to continue the visible falling trend (supported also by downward trendline). The current corrective phase seems to be running out of steam in initiation of a potential impulsive phase, with the production of a bearish reversal price bar: - ricocheting off a...