This is what I have on AUDCHF. My zones on H4 chart are a bit different. The H4 supply level you shorted at is a reaction to a previous H4 speedbump (see my chart). The H4 level would be great if price was making new supply and absorbing demand, lower lows and higher lows, but look at H4 trend, it's not doing that. I'd count on your H4 supply level in such a situation, a H4 trending market, it's not now.
My H4 supply is higher at 0.8806, it's a non-fresh supply zone either. First pullback didn't absorb any demand, it stopped at round number 0.8600. Having such a H4 supply a little bit higher, I would not sell now. The previous H4 supply (green one) is at the WK proximal line area. But since it's not an original area, I will wait for confirmation, and some demand being absorbed, that has not happened yet, so I would not short there.
Look at the trendline I have painted, that temporal H4 trend is being respected and levels above are not fresh and not a big imbalance, I just want proof that there were willing sellers left in the area. If area was fresh and original, I would have a limit sell order there!
See how first pullback to H4 supply zone was not a big reaction.
Let's see how it plays out, we never know what's gonna happen... but that's what I see on my charts and what I would do.
Thanks for your post and chart!
Alfonso
My H4 supply is higher at 0.8806, it's a non-fresh supply zone either. First pullback didn't absorb any demand, it stopped at round number 0.8600. Having such a H4 supply a little bit higher, I would not sell now. The previous H4 supply (green one) is at the WK proximal line area. But since it's not an original area, I will wait for confirmation, and some demand being absorbed, that has not happened yet, so I would not short there.
Look at the trendline I have painted, that temporal H4 trend is being respected and levels above are not fresh and not a big imbalance, I just want proof that there were willing sellers left in the area. If area was fresh and original, I would have a limit sell order there!
See how first pullback to H4 supply zone was not a big reaction.
Let's see how it plays out, we never know what's gonna happen... but that's what I see on my charts and what I would do.
Thanks for your post and chart!
Alfonso
Dislikedcan any body see this Aud/Chf too entered a sell order will see how it plays out{image}Ignored
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