Rinse and Repeat part two: Watching closely
What is interesting is the fact that this corrective rally terminated at the low/open zone of 4/22/16 at 109.261-109.451. 109.463 was the 61.8% retracement of the last sharp move down. Chikou span is facing possible resistance @ this level. Obviously without prices breaking below 105.549 or above 111.882 Kijun-sen is going to flat-line for at least the next 16 bars(days) If this breaks 105.549, we should see 103.839. For now, I would wait for the momentum to push southward and close below the Tenkan-sen, and for volume to pick up again as I suspect this pair to bounce around between the Tenkan-sen and Kijun-sen for the next few days. Breaking below the TS could beget a new entry.
Yorum:
Preparations have been made. WPR(9) is currently overbought, CMF(40)bearish, price below kumo and stranding horizontally along the kijun-sen while tenkan-sen catches up. I am going to be short below 109.30 with a normal size lot and consider taking profits off the table at 105.54. Will move stop-loss tighter as the trade develops. At that point we will reassess. Initial stoploss would be 110.70 A potential 2.6:1 reward to risk ratio, acceptable
İşlem aktif:
With the drive below the Tenkan-sen and the lows very close to 109.30 (109.32). Selling here fits the bill. A full unit with stoploss at 110.70
İşlem kapandı: durdurma seviyesi:
Stopped out. Wrong is wrong
Yorum:
Yeah, that always hurts when you get stopped out before a move. It was a good setup though, just a bit early
