Bat pattern formed, all Fib requirements met, price wicked within sell zone D
now let's see what happens.
now let's see what happens.
Commentaire:
Idea invalidated, while price wicked into the sell zone and closed as a bearish inverted hammer, the subsequent candle formed a bearish spinning top on lower volume which was a minor warning. The close of the candle after that, bullish engulfing with higher volume directly at the top of the Fib cluster was the final sign that this trade idea was in jeopardy. While the SL should be above the X point, these warning signs would have helped to mitigate losses. Now the current 4H candle can easily close back below resistance as it is not complete yet but based on the previous PA i rather cut the trade early, in the event it does close back below resistance there will be more entries to short.