Is this breakout real? Multi-TF High R:R Trade PotentialThis follows the same idea as I outlined in a recently posted ARI Video - but it's straight forward enough to put into a post as well for those who don't love videos.
Why is this so enticing?
HTF Strong Selling trend line break with HTF bullish tapering (white algos). By confirming white, we broke out of the HTF orange selling.
This is the most exciting part in the larger "reversal" process. We are by no means going anywhere HTF too quickly (barring news, etc.) - but we are setting ourselves up for a larger time frame (i.e. longer) play and that may very well consist of a new lower low and liquidity grab eventually. But for now, I am in long trades and taking profits where I know to expect levels of inconsistent supply/demand.
So if you are trading this, take profits as the chart tells you to!
The key here, as with every breakout, is to continue hitting intentional liquidity levels above, creating lower time frame "Supply" which we then use as liquidity to break out of and turn that level into demand again. That will allow for a healthy LTF continuation of this breakout as we approach HTF Supply above.
Target entry: $10.05
LTF TP: $10.90
MTF Target: $12.30
HTF Target: $16
Stop Loss: +/- $9.85 . Use yellow strong buying as your main theory along with LTF white tapering. If we taper out of yellow and build/grab healthy liquidity at the $10 level, it's not necessary a sell yet.
Happy Trading :)
