Hey guys,
today i want to share a traditional structure based trade that's on my watchlist today. On the left hand side of the chart you can see on NZDUSD we are fronting a key resistance level that may stop price action's rally. If you follow me for a while you know i'm a conservative trader and that i need additional reasons for entry in order to set my orders.
On the 4 hr chart (on the right hand side) you can see a closer look to the last price action's movements. Price's forming a triple top right now with RSI divergence. From my bigger view i know i want to be bearish and then i'm considering only shorting opportunities.
Price is also putting an engulfing kicker which i sometimes use as reason for entry. And that's the case!
If the current candle will close below the previous opening i'm going to sell this. With targets and stops as indicated above.
Let me know if you have any doubt.
Otherwise, see you in the next chart!
today i want to share a traditional structure based trade that's on my watchlist today. On the left hand side of the chart you can see on NZDUSD we are fronting a key resistance level that may stop price action's rally. If you follow me for a while you know i'm a conservative trader and that i need additional reasons for entry in order to set my orders.
On the 4 hr chart (on the right hand side) you can see a closer look to the last price action's movements. Price's forming a triple top right now with RSI divergence. From my bigger view i know i want to be bearish and then i'm considering only shorting opportunities.
Price is also putting an engulfing kicker which i sometimes use as reason for entry. And that's the case!
If the current candle will close below the previous opening i'm going to sell this. With targets and stops as indicated above.
Let me know if you have any doubt.
Otherwise, see you in the next chart!
Comment:
If you want to be more conservative you could wait for a break of this ascending trendline and then sell the retracement:
Trade active:
Sold @0,7195