HARMONIC “ABCD” PATTERN SKYROCKETED USDCAD TO A NEW HIGH (MISSED TRADE)





I could never trigger an execution for this setup. The risk would have been far from what I could bare. But the awe with which this setup rallied to a higher high (which was my planned target), after it bounced perfectly from the Potential Reversal Zone; more than disappointed, I was amazed.


On 4-hour time frame, it‘s an uptrend. Fibonacci retracement tool was drawn from swing “1” to swing “A” and from swing “2” to “A”. The resulting Fibonacci retracement-retracement cluster is the green lines.


For sub-pattern on 1-hour time frame, Fibonacci retracement tool was drawn from swing “B” to swing “A” and another was drawn from swing “B” to swing “C”. The Potential Reversal Zone or swing “D” is the region covered by the indigo lines. The “PRZ” sat just below the Fibonacci retracement-retracement cluster – it’s a good sign.


I restrained as my stop loss conventionally would have to be below the most recent swing low – which would be more than I could stomach – and watched bullish bar rise upon bullish bar.
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About Moshow

Oseni Moshood ( Moshow) is a physicist, a blogger and a spot trader with years of experience. He trades only price actions partly because he thinks Economics is boring; or, probably because he failed Economics; and he loves fine artistic works.
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