This week has not been quite busy. I would say I have had more activities outside of forex like I would normally have wished for; nonetheless, I have enjoyed every bit of it.
It took a lot of patience and discipline, but I waited. The wait paid off (though not exactly the kind of payment I would prefer) and I was rewarded with a setup that looked everything close to good but turned bad.
Fibonacci retracement tool was drawn (on 4-hour time frame) from swing "1" to swing "2"; and Fibonacci expansion tool was drawn from swing "2" to swing "X", and then to swing "C". The Fibonacci retracement and expansion tool formed a cluster (note region covered by the green lines).
On 1-hour time frame, I spotted a harmonic pattern. The "Potential Reversal Zone" (note region covered by the indigo lines) or my calculated "D" is in confluence with the Fibonacci retracement-expansion cluster.
I went long after price traded into the PRZ and bounced: Buy button was triggered at 0.7151, Stop Loss at 0.7125 and Target at 0.7232. Trend lines were drawn joining the Close of swings. Thick black line is from 4-hour while the thin black line is from 1-hour time frame - together they form a cluster. The cluster may bounce price against me before it makes it to my Target.
EVENTUALLY
Price traded lower, missed my Stop Loss by a pips and formed a bullish divergence (note line on Stochastic). On sighting this, I had more reason to believe price would make it, at least, to the trend line cluster. I drew the thick trend line connecting the Close of swings to indicate that higher lows had formed and consequently marked out support level.
With little effort, price breezed through the support and declined to stop me out.
Profit/Loss: -26 pips
0 comments:
Post a Comment