dragon33 wrote:scheeco wrote:Took this one this morning:
This was my thought process:
a) Price in H4 and H1 zones (defined by MOMO candles)
b) Sema confirmation in H4 / H1 zone on M15 chart
c) Close of first other colour M15 candle
All these were checked but noticed the huge SHORT MOMO in the overlay (circled in yellow) so I thought based on yesterday that I am waiting for the next H1 candle to close before making a decision.
The next BLUE H1 closed below the 50% level of the RED MOMO H1 candle so failed to close higher therefor I thought a SHORT would have been safe.(I think this part of my analysis as just crap!)
However I did take 9 pips ...entered short at 50% level of RED H1 MOMO candle @ 1.21949.
In retorspect I am thinking the following... while I did everything right at this point - the fault in my analysis was two fold:
1) Price failed to close lower ( below RED H1 MOMO candle) as MOMO was down - that would indicate that price may start reversing now. However the opposite would be true if MOMO was upwards and price failed to close higher, than a reversal may be possible.
2) A double bottom formed. I am a little unsure as to its significance and when tp pay attention to them and what they may imply. But looking at some charts it seems that they are a good indication of reversal coming our way.
Are these retrospective analysis on the right track?
Your analysis is good but you are missing some parts. Red momo down! So you only think shorting. The next candle closes on the 50% area. This indicates that price may continue if the blue candle holds and see what happens next!!! Price retraced but couldn't close below The openprice of the blue H1. Now you need to be fast and find some entry. rat enry of the blue H1 is nice to do.
Sometimes you get time sometimes you need to be very fast. If things are not clear stay out and observe. If you observe 10 times and 10 times happens the same then you know your analysis start to work
Im in this two trades what do you think about them dragon?
GU target 4h 50level
EJ target 1h 50level