Price is ranging and has broken and closed above a resistance level, after a quick daily retrace it is moving up again. On the 4HR price is nicely respecting a trendline resistance and has formed a double bottom on the horizontal support which is also close to the 4HR 200 EMA support.
Looking at the FIB retracement of the last bearish leg the neckline of the double bottom is just above the 0.618, I feel there are a lot of clues here to support a bullish move up to the resistance of the daily range it has been trading in since around Feb this year, should the 4HR candle close above.
To try and get a better R:R on this trade I will consider not opening the trade on the retrace of the broken neckline but a bit further down nearer to the FIB 0.618, I will put my SL around 0.66357 which is just below the lows of the DB as well as the FIB 0.5 retracement and at the 4HR 200 EMA support.
My BE will be around the daily 200 EMA resistance with my TP a bit higher at around 0.67742 to try and closer to that horizontal daily resistance.
This is not a signal and any feedback would be greatly appreciated.
Thanks
Munky83
Looking at the FIB retracement of the last bearish leg the neckline of the double bottom is just above the 0.618, I feel there are a lot of clues here to support a bullish move up to the resistance of the daily range it has been trading in since around Feb this year, should the 4HR candle close above.
To try and get a better R:R on this trade I will consider not opening the trade on the retrace of the broken neckline but a bit further down nearer to the FIB 0.618, I will put my SL around 0.66357 which is just below the lows of the DB as well as the FIB 0.5 retracement and at the 4HR 200 EMA support.
My BE will be around the daily 200 EMA resistance with my TP a bit higher at around 0.67742 to try and closer to that horizontal daily resistance.
This is not a signal and any feedback would be greatly appreciated.
Thanks
Munky83