First let me explain that I am just learning this form of trading. So anything I post if definitely not concrete and should be reviewed thoroughly. That said;
The TL you speak of that I draw around 1.4700 is not entirely valid. I was using the extremes to try to get a sense for where price would go. I was sort of looking for price to come up to the 61.8 area some where around this line basically.
The evening star that I speak of is not an evening star in the FX traditional sense. In equities an evening star is generally a gap up with a reverse direction of the previous candle. I was referring to the candle 2nd from last on my chart but in FX sense it is not a traditional “evening star.”
If you haven’t already look at the edit I did to that original post. The original trade that I put on looks weak at best. I am learning.
I would definitely have to agree with you. Also the most important thing to me though is that the overall trend is up. Looking at your chart I see something interesting. Looking at the highs… look at the current one. Now look back 2 highs. They look very very similar. Just found that interesting.
Hey King, I’m watching this for a good short entry. You entered without waiting for a good candlestick formation. Are you just going by the trendline and the 50.0 fib? You’re looking at the Daily, I’m working off the 4 hr.
Lots of EU trades today I notice. Here is how I have been looking at EU from the 4H and waiting for a proper setup. I think the chart says it all. If an appropriate bearish setup presents it self I will short. If it passes the 61.8 I will look again when it gets around 78.6.
I fear entering a trade over the weekend. Also all of my analysis could be completely wrong as I am new to this method. Looking forward to others idea’s or criticism.
Assuming that it directly relates to the thread authors method and strategies I too would be interested. With 200 pip SL’s I am weary though.
On another note:
Still eye balling EU - it has since reached the 71.2 fib area (actually slightly past) and still looks to be pushing forward. Is this a fundamental climb? I’m still not sure that we couldn’t see a evening star formation form or something similar, but being friday… who knows. Just a quick review of the recent news related to the USD I am thinking that this might be fundamental. I definately would not enter into this trade without a VERY well formed bearish formation.
Remember that the worst enemy a trader has… is him self. If you have recently entered on EU (which I agree has been incredable difficult not to) you most liklely have lost some pips. There has been no formation that signals a reversal (at least not on the 4h) so just sit on your hands and wait for it.
Most technical analysts forcasts for the day show the E/U continuing to climb. Something to take into consideration… but in the end just follow the system!
No, I didn’t enter on a CF. Perhaps, there will be an opportunity to short EURUSD at the test of an outer TL, towards which the price is currently moving.
A bounce would be a great trade to start off next week. Right now I see indecision on the 4h as at the moment a doji appears on the 4h with still about 45 minutes left in the candle. We all know how these Friday closings can do strange things… especially in this pair… I am sitting out until next week. There will be plenty of opportunities for another day.
I placed a sell limit order at 1.3340 with SL = 50 pips away from the entry and first target = 100 pips. This level founded some resistance and support in the nearest past on H4, and upon reaching it the price will most likely test the down TL with the retracement slightly exceeding 61.8 Fib.
Entered at the test on the down TL (15M time frame - the first uploaded chart) and after an evening star has been formed on 1Min chart (second uploaded chart).
The inner trend line is broken and now theres a retest forming a bullish crown. I’m anticipating a rally to the outer trend line hence my Long entry.
See chart below.
Defently looking into buying this puppy look at the amount of support that has been buildup around this area …defently looking sweet to buy. Keep in mind we are making a left shoulder . Move stop to break even when you can since support is yet tohold for more then one move for the past couple of weeks…
