At D (green lines) price formed a bullish divergence. I bought at 0.7494 with an SL of 35 pips and with my target at 0.7581 which is inside a confluence between trend line cluster and Fibonacci retracement cluster. I also set a trailing stop of the same size as my SL.
EVENTUALLY
Price declined after entry -- spiked- missed my SL by 5 pips -- and ranged a while, forming a symmetry triangle after which it rallied.
At 0.7530, price bounced off a fibonacci cluster between 38.2 and 23.6 fib levels which, in most cases, never really serve as a reversal point. And it also formed something which I really would not normally refer to as a divergence.
I didn't exit because what formed wasn't what I ideally would refer to as divergence and also because an MSH formed directly on a fib cluster which has very low percentage of reversing price path.
Although, in the end, price did reverse. Good thing my SL had been moved 1 pip above my entry.
PROFIT/LOSS: + 1
0 comments:
Post a Comment