Consider this as a guide to develop your own setup.
Main Items we see on the Weekly Chart:
-Price is inside a descending channel since August 2017
-Currently, the price is facing the higher trendline of the channel + Resistance Zone
-We consider this area as a major zone to look for reversal signals
-See how in all the previous bearish movements we had a Red weekly candlestick before the down movement
Our objective is to catch a similar bearish movement like the previous 3 scenarios (yellow arrows)
Conclusion:
-Before entering the market we will wait for a Red weekly candlestick and then we will look for our specific entry
-On the chart, we set Stop / Take Profit and Entering Zone. Use them as an idea of where to look for your entry, the current setup gives us a really good Risk-Reward Ratio, and the downside potential is -3,17% from current levels, until the next Support Zone.
Main Items we see on the Weekly Chart:
-Price is inside a descending channel since August 2017
-Currently, the price is facing the higher trendline of the channel + Resistance Zone
-We consider this area as a major zone to look for reversal signals
-See how in all the previous bearish movements we had a Red weekly candlestick before the down movement
Our objective is to catch a similar bearish movement like the previous 3 scenarios (yellow arrows)
Conclusion:
-Before entering the market we will wait for a Red weekly candlestick and then we will look for our specific entry
-On the chart, we set Stop / Take Profit and Entering Zone. Use them as an idea of where to look for your entry, the current setup gives us a really good Risk-Reward Ratio, and the downside potential is -3,17% from current levels, until the next Support Zone.