Classical Pattern, Trade On

We have a classical formation occurring right now. I can see a head and shoulders pattern that has been formed on the hourly chart, which makes that an important and strong signal! Now we will locate confirming signals in that direction. On the 15 minute chart i can see that price action banged up on the pivot point level, found resistance there and started to drop. I can also see a smaller head and shoulders on the 15 minute, and price action has already breached the neckline! There's only one way to go, and that's down! We have railway tracks on the 30 minute chart, and not just railway tracks, railway tracks that found resistance at a pivot point, that's much stronger than just railway tracks! On the hourly chart we have a Doji formation right at the pivot point level! On the 4 hour chart we can see that price action tried to break through the resistance level of $1.3049 multiple times and all the times it got rejected. so there is only one way to go after the rejection, and that's down!

Comentário:

We can use higher leverage for this trade because there is not a lot of risk of price heading up to much, it will retrace up and make small moves but it shouldn't be a lot higher, just small retracements!