GBPUSD, 1H, potential Bat pattern
Bat patterns with good ratios and momentum down to the D point.
GBPUSD is In a downtrend, looking at Daily Time Frame, so we use a tight SL and realistic price targets, since most likely only a pullback is to wait.
We also have a strong daily support level just below PRZ, which means I'm expect price movements down there before we see a turn.
In other words, PRZ is not as strong in setups like this, but is still important to measure and keep track of when the pattern is valid and if it can handle price movements below without being stopped out, alternatively, invalidate the pattern for an entry when the price get up to PRZ again.
The prize must test the entire PRZ.
If the price goes down and tests the support level - it should not close below the intended SL level.
GBPUSD is In a downtrend, looking at Daily Time Frame, so we use a tight SL and realistic price targets, since most likely only a pullback is to wait.
We also have a strong daily support level just below PRZ, which means I'm expect price movements down there before we see a turn.
In other words, PRZ is not as strong in setups like this, but is still important to measure and keep track of when the pattern is valid and if it can handle price movements below without being stopped out, alternatively, invalidate the pattern for an entry when the price get up to PRZ again.
The prize must test the entire PRZ.
If the price goes down and tests the support level - it should not close below the intended SL level.
Henrik Siverhall
SMC Trading
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SMC Trading
Är du intresserad av vårt mentorskap - "Basic" och "Avancerad" mentoring.
smctrading.se
Sveriges största FB grupp för nybörjare
bit.ly/ptse-fb-basic
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