here we have a very nice pattern on oil that was formed on the 28th and had an initial reaction. the market then proceeded to find previous structure resistance at a specific level when the pattern completed. now we find ourselves in a very profitable position to place a short since we have some bearish divergence that started at the completion of the pattern. and we are in a position where our risk to reward ratio is ideal at a more than 1:1.5. all analysis were made with the completion of the pattern, this higher high just being noise afterward and still remaining in our trading zone. this trade has all the potential to be a great entry with structure having being met and respected as a level, bearish divergence, RSI signaling that the market was overbought at the completion of the pattern and reached overbought conditions ever since. targets go at a 38.2% retracement of the pattern and 61.8%. i put my stops at 127% of C to D leg.
評論:
market opened with a huge gap in favor of the pattern
交易進行:
rarget 1 has just been reached.
交易結束：目標達成:
both target were hit.
評論:
power of harmoncs once again. 5/1
David K Giraldo