Trade 1 is a hedge short from the crucial Support turned Resistance of approximately 5800, targeting 4080.
Trade 2 is a net long position from (possibly) the 200 weekly moving average, targeting the crucial psychological resistance of 10,000.
Two possible trades:
Long at current price, hold to target, stop at the tip of the right shoulder. (RR ~ 3:1)
Trade 2: (Only on failure of trade 1)
Immediately take short trade after the long trade is stopped out, target marked as per failure rules of inverse head and shoulders. (RR ~ 2.5:1)
1. The 0.382 will be tested
2. The Beardiv will confirm around the 0.382
1. Single entry : 118
2. Stop : 119.5 (0.5% of capital risk)
3. Target: 108.2 (3.19% reward to capital risk)
1. A 6.38:1 RR trade is completed
Note - my entry is 4000, I am already in this trade.
1. The Bearish Divergence will close as it is, and then play out over the weekend
2. The Price will not break fib structure here
1. Single entry : 4000 (1x short hedge only, will double down later if need be)
2. Stop : 4289
3. Target 3128
1. A 3.61:1 RR trade is completed