reversal confirmation signal on nzd usd

27 Şub 2019

hey guys,

I want to give you another example of a top down analysis approach in action.

first of all open a 4h chart,
what you can notice is that the market coils in a triangle and now it is approaching its resistance line.
+ we have a clear divergence on rsi


what I do next, I go to a lower timeframe and look for confirmation signals:
as you see we have a nice double top pattern + rsi overbought with divergence

I will be looking for a bearish violation of a support line to sell the market.

your targets will be based on structure.

good luck!

27 Şub 2019

Not

Going down

27 Şub 2019

Not

almost hit the first target

28 Şub 2019

Not

Hit target 1