GOLD : INSIDE BAR FAKE OUT SETUP!
Updated
GOLD : INSIDE BAR FAKE OUT SETUP
Now , GOLD is in a short-term bearish trend whilst prices remain contained under the $1525 near-term resistance level. However, our longer-term bias will be bullish as long as price is supported above the $1400 key long term support level.
As prices plunged down from the recent bearish pin bar few days ago just under the $1525 resistance area and tested the $1450's support region, we were on a lookout for price action buy setup to ride the correction/pullback & yesterday we got one (INSIDE BAR FAKE OUT PATTERN), which has also provided us the absolute stop placement.
Now, let's checkout the factors of confluence we have on this trade idea :
1. Long term bullish bias
2. $1450's support region.
3. Inside bar fake out Setup ( Pin bar false breaking the inside bar setup & formed from the 23% retrace level of the recent swing lower & Pin bar rejecting/false breaking the $1458 near-term support level)
NOTE : A well formed price action setup is one of the factors of confluence in itself.
We entered from $1465 & Stops were placed at $1455, targeting a move up till $1500.
NOTE : Bulls need to claim the $1480 near-term resistance level + the very level is the 50% retracement level as well of the recent swing lower. So , its important for prices to give us a confirm break and close above the $1480 level, as a failure to do so will result us getting out of this trade manually but only after price action suggests at or under $1480. So, we will be focusing much on $1480 near-term resistance level. Ideally we aim for at least 1:2 R:R , but in this case, even if we will have to get out at $1480 (only if price action will suggest), we will be getting out with 1:1.5.
It is always good to know the good and bad parts of your trades and trade ideas before entering , as this helps in trade and money management. And we are giving a shot at this as we have more than two confluent factors aligning together + It makes sense in context of money management.
Trade Details :
Entry @ $1465
Stop @ $1455
Take profit : $1495
Risk reward : 1:3
TRADE IS ACTIVE
Even the best Setups can fail, so MANAGE YOUR RISK PROPERLY
Now , GOLD is in a short-term bearish trend whilst prices remain contained under the $1525 near-term resistance level. However, our longer-term bias will be bullish as long as price is supported above the $1400 key long term support level.
As prices plunged down from the recent bearish pin bar few days ago just under the $1525 resistance area and tested the $1450's support region, we were on a lookout for price action buy setup to ride the correction/pullback & yesterday we got one (INSIDE BAR FAKE OUT PATTERN), which has also provided us the absolute stop placement.
Now, let's checkout the factors of confluence we have on this trade idea :
1. Long term bullish bias
2. $1450's support region.
3. Inside bar fake out Setup ( Pin bar false breaking the inside bar setup & formed from the 23% retrace level of the recent swing lower & Pin bar rejecting/false breaking the $1458 near-term support level)
NOTE : A well formed price action setup is one of the factors of confluence in itself.
We entered from $1465 & Stops were placed at $1455, targeting a move up till $1500.
NOTE : Bulls need to claim the $1480 near-term resistance level + the very level is the 50% retracement level as well of the recent swing lower. So , its important for prices to give us a confirm break and close above the $1480 level, as a failure to do so will result us getting out of this trade manually but only after price action suggests at or under $1480. So, we will be focusing much on $1480 near-term resistance level. Ideally we aim for at least 1:2 R:R , but in this case, even if we will have to get out at $1480 (only if price action will suggest), we will be getting out with 1:1.5.
It is always good to know the good and bad parts of your trades and trade ideas before entering , as this helps in trade and money management. And we are giving a shot at this as we have more than two confluent factors aligning together + It makes sense in context of money management.
Trade Details :
Entry @ $1465
Stop @ $1455
Take profit : $1495
Risk reward : 1:3
TRADE IS ACTIVE
Even the best Setups can fail, so MANAGE YOUR RISK PROPERLY
Trade closed manually
Closing position on break even at $1465 , as the Setup traded didn't follow through and we did did speak about price getting some resistance from $1480 and plunging down from that level.We didn't exit at $1480 level rather we choose to wait and see if prices breaks and close above the $1480 minor resistance level.
P/L = 0
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