Today, I got stopped out with a big loss. I thought the price would move in the direction of the local liquidity after the liquidity grab for selling. However, as it turned out, I was wrong. I failed to consider that a pattern had formed within an ellipse, after which there was a significant downward move. Next time, I'll be more careful.
I placed a buy order at the level of 2441.50 and another buy order at the level of 2379.19. The rationale for the buy is as follows: the price broke through the monthly opening level of 2521.70 and the weekly opening level of 2439.95, formed an order block—closing above a bearish 15-minute candle with the highest volume—rejected the monthly level, and is now returning back.
While trading using levels, I discovered an interesting pattern in price movement: the screenshots clearly show that the price moves in circles. I will try to use this feature. Unfortunately, I can only draw circles in TradingView. In MT5, I can't do this. If anyone knows how to do it, please let me know.
If the price is above MOP, WOP, and DOP, the trend is strongly bullish.
If the price is below MOP, WOP, and DOP, the trend is strongly bearish.
Mixed signals (e.g., above MOP but below DOP) suggest consolidation or potential reversals.
When indicators show a maximum trend, the probability of a trend continuation is the highest and the probability of a trend reversal is the highest. Is it different in this case?
Please excuse the bad English via Google Translate.
I had thought of a similar strategy, but based only on the monthly open and weekly open applied on the D1 chart. A candle with a rejection wick above or below that level is enough to start a trade. For those who are familiar with candlestick patterns and have a long-term mindset, it is an excellent strategy. {image}
Ignored
It seems like a great strategy, do you like to enter at the close? The marked candle was very similar to the example you posted and in the same pair!
I've been doing something similar for years—taking screenshots of key price zones and noting reactions. Helps me connect patterns over time and trust my setups more without second guessing.
