It is not uncommon to have patterns similar to this. I could almost tell correctly what price was going to do: that having failed to test the Fibonacci cluster since price turned at "1", it was meant to test it at some point giving off a higher low and a bearish divergence (note line on Stochastic). I was that familiar with this pattern and my level of faith in what I perceived as a logical outcome was high.
The setup isn't an established harmonic "ABCD" pattern (though I labelled the crests and troughs as such). Since price had formed couples of lower Highs and Lows in recent past, I reasoned it was simply a question of when price would stoop lower. A Fibonacci retracement tool was drawn from swing "E" to "D", and another was drawn from "A" to "D" hence the Fibonaci retracement cluster (region covered by the scarcely obvious, green horizontal lines).
For quick and precise entry, I had to look for a Sub-pattern on 1-Hour time frame: Fibonacci retracement tool was drawn from Swing "A" to swing "B", and a Fibonacci expansion tool was drawn from swing "B" to "C" and then to "D". The region covered by the navy-blue horizontal lines is the Fibonacci retracement-expansion cluster; and when price formed a shooting star (and bearish divergence) inside the cluster-confluence, I knew it was time I went Short.
I sold at 1.5338, Stop Loss at 1.5365 (27 pips), Target at 1.5220 (118 pips).
EVENTUALLY
Perhaps, it would have been a good idea to Sell if the trend line support was a few more pips further away from my entry since this(as it is) didn't give a lot of room before price bounced off the support and rallied high to my Stop.
Profit/Loss: -27 pips
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