IF anyong is holding AU long position still, consider taking profits here as it hits the rising trendline. See chart where the arrow is.
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Thanks for the update.
Just a clarification.
Consider taking profits because it hit the trendline? Bullish hammer on the trendline, is it not considered as a bullish formation? Buy chance
or is it due to RSI bearish divergence, that takes precedence over the bullish hammer on the trendline? Sell chance
Buy or sell here?
DislikedI think he meant to say "If anyone is holding AU short position" rather than "long position". It's probably heading back up from here.
Dislikedalthough it is very early in the 10:00 oclock candle, we already have overbought RSI levels, and it is looking like the RSI is not making the higher high that teh actualy prices have made, so we may have divergence here. So, we just need a bearish candle here, either pinbar or bearish engulfing to setup a short trade, and then we will trigger if price actions follows through below those candles (IF we get them). Watch those two pairs closely for the next hour to see how the candle will close
I will be back in an hour for an update if...Ignored
DislikedWell, they certainly formed a bearish engulfing candles here and that gives us a nice short setupIgnored
DislikedHi Pure Price,
Can you explain on what trigger you are mentioning about on EuroYen?
There was bearish engulfing candle and there was divergence in the RSI.
What else we require? Are we missing something?
I thought that was all to take the trade.
Once again, Pure Price, thank you for all help.
Dislikedsorry kamugi ... is that I am entering the forum, which is why you had not read
for you friendIgnored
could you describe your system ? Especially which TF (1H or higher ?), entry and TP position.
Best regards from PolandIgnored
DislikedThat is what we need for a short setup. You forgot to mention tht RSI had to be in overbought level above 70 too BUT We still need the price to follow through and actually go below (I like about 3-5 pips below) the low of the engulfing candle. That is the trigger point. In the case of EJ, price never went below the bearish engulfing candle, and thus there was no trade trigger.Ignored
I see EJ has still yet to trigger, and it's been over four bars now. I still have a pending trade set. When do you no longer consider it a valid trade and remove your pending orders? After a certain number of bars or when the price starts to clearly move in the opposite direction or something else?
I also have a question. On my charts, all of the engulfing candles on the Yen pairs were pretty large. Is there a length of candle that would discourage you from taking a trade?
Disliked@ PurePrice, I've dragged this from my chart it shows a move from the other day on EURUSD, notice the red lines drawn on, would you call this divergence?Ignored