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Countertrend

Navigating the Bullish TrendBased on the Weekly Chart, GBPUSD is on a Bullish Trend, but that doesn't mean we can't look for a shorting opportunity. I've been eyeing the Upsize Trade, which is perfect if you love to extend targets. Recently, the Bearish Bat Pattern has been confirmed on the 1-hourly chart. I'm waiting for the market retest back to 1.2245 for a shorting opportunity. If things go well, I might stretch my final target to the Bullish Shark Pattern completion on the Daily Chart at 1.1937. Just wanted to keep you in the loop. Let me know if you have any questions or concerns.
Short
by RaynLim
Countertrend then Continuation to upside after 2Day OrderBlock If you missed getting in short, here's a 2nd opportunity for a longer run. Speculating price will reject 0.86890 to take out SSL below at 0.86115 (2 Daily OB mitigation). Then this would be a great entry for long (swing trade). If willing to participate on this short idea, suggestion is to do so at a reduced risk (lower lot size) on the shorting (0.86890) to the 2 Day OrderBlock mitigation. Then enter at a regular risk (whatever your risk appetite is) on the continuation long.
Short
by RunwayFX
A Promising Trading StrategyThe star trade of the week. I'm currently waiting for a shorting opportunity on the bearish shark pattern off the weekly chart. Trading off the weekly chart directly would send my initial risk through the roof. While we could always reduce our trading size when trading off the higher timeframe, it doesn't make sense to me. I'll be waiting for a bearish 5-0 pattern to complete at 110.56. My initial stop-loss is at 110.96, which is approximate -40pips or -400USD/lot. My first target is at 109.96, which is approximately 1,000USD/lot. However, there's also a bullish shark pattern that has completed at 109.96, so there's no reason why you can't engage on that as well. Remember, it's important to plan your trade and trade your plan. Never follow any trader blindly.
Short
by RaynLim
Retesting Previous High, Potential Shorting OpportunityWe've identified a potential opportunity for counter-trend traders in the form of a Bearish Fib-3 Bat Pattern completion on the Weekly Chart. This could be a great chance for traders to engage in the trade and make a profit. However, we understand that the initial stop may be too large for some traders to handle. That's why we suggest waiting for the setup to form on the lower time-frame, such as the 1-hourly chart, for a shorting opportunity. You could wait for a retest at 149.44 for a shorting opportunity. The initial Stop-Loss at 149.74 (-30pips) or approx. -300usd/lot. Target1 could be at 148.76 (+68pips) or approx. +680usd/lot. But keep in mind that it's always important to plan your trade and not follow any trader blindly. We encourage you to have a solid plan in place before making any trades.
Short
by RaynLim
Trend-Following vs Counter-TrendTrading in the cryptocurrency market can be an exciting and potentially profitable venture. However, it is essential to approach trading with a clear understanding of the risks involved and the potential rewards. One important concept that traders must grasp is the risk reward ratio. This ratio compares the potential profit from a trade to the potential loss, providing a measure of the risk associated with a particular trading strategy. The risk reward ratio is calculated by dividing the potential profit by the potential loss. For example, if a trade has the potential to yield a profit of $200 and a potential loss of $50, the risk reward ratio would be 4:1. This means that for every $1 at risk, there is the potential to gain $4. Traders often use the risk reward ratio as a tool to evaluate the viability of a trading strategy and to make informed decisions about which trades to enter. Understanding trend-following trading strategies Trend-following trading strategies are based on the idea that the price of an asset tends to move in a specific direction for an extended period of time. Traders who employ trend-following strategies aim to identify and capitalize on these trends by buying when the price is rising and selling when the price is falling. This strategy assumes that the trend will continue and that profits can be made by riding the trend until it reverses. One of the key advantages of trend-following strategies is that they can be relatively simple to implement. Traders can use technical indicators, such as moving averages or trend lines, to identify trends and generate buy or sell signals. This simplicity can make trend-following strategies appealing to both novice and experienced traders. However, trend-following strategies also have their drawbacks. One of the main challenges is identifying the start and end of a trend. Trends can be volatile and subject to sudden reversals, leading to potential losses if the trader enters or exits a trade at the wrong time. Additionally, trend-following strategies may result in missed opportunities if the trader is unable to quickly react to changing market conditions. Pros and cons of trend-following strategies Trend-following strategies have several advantages that make them attractive to traders. One of the key benefits is the potential for significant profits. By riding a trend, traders can capture a substantial portion of the price movement and generate substantial returns. Additionally, trend-following strategies can be relatively easy to implement, requiring only basic technical analysis skills. However, trend-following strategies also come with their fair share of disadvantages. One major drawback is the potential for missed opportunities. Trends can be unpredictable, and a trader may enter a trade too late or exit too early, resulting in missed profits or unnecessary losses. Another challenge is the increased risk of drawdowns during periods of market consolidation or when trends reverse. Traders must be prepared to manage these risks and adjust their strategies accordingly. Analyzing the risk reward ratio in trend-following strategies When analyzing the risk reward ratio in trend-following strategies, it is essential to consider several factors. First, traders must determine the potential profit from a trade by identifying the target price or the expected price movement based on the trend. This can be done by using technical analysis tools or by setting specific profit targets. Next, traders must assess the potential loss by setting a stop-loss order. This order automatically closes the trade if the price moves against the trader's position, limiting the potential loss. The stop-loss order should be placed at a level that reflects the trader's risk tolerance and the volatility of the market. By comparing the potential profit and the potential loss, traders can calculate the risk reward ratio. A higher risk reward ratio indicates a potentially more profitable trade, as the potential gain outweighs the potential loss. However, it is important to note that a higher risk reward ratio also implies a higher level of risk, as the potential loss is larger. Understanding counter-trend trading strategies In contrast to trend-following strategies, counter-trend trading strategies aim to capitalize on price reversals. Traders who employ counter-trend strategies look for opportunities to buy when the price is falling and sell when the price is rising. This approach assumes that the price will reverse direction and that profits can be made by entering trades against the prevailing trend. Counter-trend strategies can be more challenging to implement compared to trend-following strategies. Traders must be able to identify potential reversals and accurately time their entries and exits. This requires a deep understanding of market dynamics and the ability to interpret price action and technical indicators effectively. Pros and cons of counter-trend strategies Counter-trend strategies offer several advantages that may appeal to traders. One of the main benefits is the potential for high-profit opportunities. By entering trades against the prevailing trend, traders can capture significant price movements and generate substantial returns. Additionally, counter-trend strategies can be particularly effective in choppy or sideways markets, where trends may be less pronounced. However, counter-trend strategies also come with their own set of challenges. One major drawback is the potential for false signals and whipsaws. Price reversals can be short-lived and quickly revert back to the prevailing trend, resulting in potential losses if the trader enters trades prematurely. Another challenge is the increased level of complexity involved in implementing counter-trend strategies. Traders must have a deep understanding of market dynamics and the ability to interpret price action accurately. Analyzing the risk reward ratio in counter-trend strategies Analyzing the risk reward ratio in counter-trend strategies requires careful consideration of the potential profit and potential loss. Traders must identify potential reversal points and determine the target price or expected price movement based on the counter-trend. This can be done using technical analysis tools or by identifying key support and resistance levels. Similarly, traders must set a stop-loss order to limit potential losses if the price continues to move against their position. The stop-loss order should be placed at a level that reflects the trader's risk tolerance and the volatility of the market. By comparing the potential profit and the potential loss, traders can calculate the risk reward ratio. A higher risk reward ratio suggests a potentially more profitable trade, as the potential gain outweighs the potential loss. However, traders must also consider the higher level of risk associated with counter-trend strategies, as the potential loss is larger. Comparing risk reward ratios in trend-following and counter-trend strategies When comparing the risk reward ratios in trend-following and counter-trend strategies, it is important to consider the strengths and weaknesses of each approach. Trend-following strategies typically have a higher success rate, as they align with the prevailing market direction. This can result in a higher number of winning trades and a more favorable risk reward ratio. On the other hand, counter-trend strategies may have a lower success rate but offer the potential for larger profits. By entering trades against the prevailing trend, traders can capture significant price movements and generate substantial returns. However, the risk reward ratio may be less favorable due to the potential for larger losses if the price continues to move against the trader's position. Ultimately, the choice between trend-following and counter-trend strategies depends on the trader's risk tolerance, trading style, and market conditions. It is important to carefully evaluate the risk reward ratio of each strategy and consider other factors such as market volatility, timeframes, and personal preferences. Factors to consider when choosing a trading strategy When choosing a trading strategy, it is important to consider several factors beyond the risk reward ratio. Here are some key factors to keep in mind: Market conditions: Different strategies may perform better in different market conditions. Consider the current market trend, volatility, and liquidity when selecting a strategy. Risk tolerance: Assess your risk tolerance and choose a strategy that aligns with your comfort level. Some strategies may involve higher levels of risk and potential drawdowns. Time commitment: Different strategies may require varying levels of time commitment. Consider your availability and lifestyle when choosing a strategy. Trading style: Determine whether you prefer short-term or long-term trading, as this will influence your choice of strategy. By carefully evaluating these factors and considering the risk reward ratio, traders can select a strategy that aligns with their individual goals and preferences. Analyzing the risk reward ratio is a crucial step in evaluating the viability of a trading strategy. Both trend-following and counter-trend strategies have their own set of pros and cons, and traders must carefully consider the risk reward ratio associated with each approach. By understanding the potential profit and potential loss, traders can make informed decisions and manage their risk effectively. Additionally, it is important to consider other factors such as market conditions, risk tolerance, and personal preferences when choosing a trading strategy. By taking a comprehensive approach, traders can increase their chances of success in the dynamic and ever-evolving cryptocurrency market. Follow and Boost for your financial success ! Write your thoughts in the comment section.
by Wealthy_Stats
Bear Flag RetracementDo not be fooled. Many again calling a new bull market. Not yet IMHO. This is a B wave and likely close to topping. Expect top within days, or hours. The ferocity of short squeeze rallies in bear markets is amazing. The best bullish moves often occur in bear markets! Because shorts scramble to cover, driving price higher. But this is NOT a buy and hold investor's dream. Those recommending long positions here will likely be badly disappointed. Flash in the pan, lots of smoke and some mirrors will suck in retail to fleece us again. Going over the same price again and again, terrific price action but no lasting returns. Next move is down, primary (C) wave will commence following exhaustion of the minor C in the zone depicted. Watch RSI for pivot. Primary downtrend (C) waves tend to be fierce, rapid and frightening. Get ready.
TVC:SPXShort
by DaddySawbucks
5
Trade Both Ways!!Our analysis suggests that there is a sideway bounce trading opportunity, with resistance at 158.49 and support at 156.79. With a difference of 170pips, this provides an incredible profit potential that can lead to close to 1,790usd/lot. We have two sideway bounce trading strategies that we could utilize to maximize our profits. I would love to hear your thoughts on which one you prefer. Both strategies have been carefully crafted and have the potential to yield high returns. Let's take advantage of this opportunity, make a smart investment decision and plan your trade.
by RaynLim
One of my Fave!I wanted to share with you one of my favourite trading strategy, the Sideway bounce. Not only is it easy to execute, but it also delivers some of the most relaxing results. In this particular case, the resistance is at 148.40, and the support is at 147.51, which means they're 89 pips apart. This translates to an approximate profit potential of $890 per lot, both ways. To ensure success with this strategy, it's crucial to make sure the market doesn't violate the two levels. This way, we can maximize returns while minimizing risk. I believe that implementing this trading strategy will be incredibly beneficial to our investment portfolio. You have to make sure, not to overtrade it.
by RaynLim
Counter-Trend Trading OpportunityEURUSD is currently experiencing a bearish trend, but for those who are counter-trend traders, there may be an opportunity to buy at the AB=CD pattern completion at 1.0602. It is important to wait for confirmation from a magic candle confirmation before executing this strategy. The initial stop-loss should be set at 1.0562 (-40pips) or -400 USD/lot. Our first target should be set at 1.0668(+66pips) or +660 USD/lot. Before making any trades, it's critical to do your own analysis and follow your trade plan. As always, it's essential to approach investment opportunities with care and caution. But if you're ready to take a calculated risk, this could be an exciting opportunity for you. Happy trading!
Long
by RaynLim
4
Bullish Momentum in Focus!Trading on the Euro Yen has been on a bullish trend, with some market consolidation due to the over-extended movement. To take advantage of this trend, we recommend buying at support and selling at resistance, which can potentially produce a profit potential of 170pips on the 4-hourly chart. On the daily chart, we have just broken the very aggressive and trending bullish trend line, but there are other trend lines that can offer a buying opportunity. However, we suggest waiting for a selling opportunity at 158.49 and a buying opportunity at 156.79 on the 4-hour chart, where there is a precise entry point for a bullish run. With an initial stop-loss at 156.33 and the first target at 157.35, this trade can be engaged on the 1-hourly chart at 156.82. It is important to note that this is not trading advice, and investors should do their own analysis and not follow blindly.
Long
by RaynLim
Contrasting Trends, Caution AdvisedIt is crucial to have a good grasp of how to interpret the market before making any trades. Although the current pound dollar movement leans towards bearish, the weekly chart indicates a positive trend. To capitalize on this, trend traders should sell, while counter-trend traders can take advantage of a shorting opportunity at 1.2317. The buy zone lies between 1.2313 to 1.2689, with a weaker bullish movement on the weekly chart. Remember to always conduct your own analysis and avoid blindly following others. If you're interested in learning more, feel free to chat with me.
by RaynLim
Navigating Counter-Trend Waters: AUDUSD InsightsThe AUDUSD's prolonged bearish journey has sparked interest among traders seeking a potential rebound. However, it's vital to remember that market dynamics don't always adhere to expectations. For those exploring counter-trend opportunities, the presence of an over-extended Bullish Shark Pattern accompanied by a Bullish Trendline forms an intriguing combination. Exercise caution and await confirmation before entering the trade. Keep in mind, once the candle breaches the Bullish Trendline, this setup loses its validity. 📊🔄
Long
by RaynLim
1
Bullish Outlook, Counter-Trend Opp.The overall outlook for USDJPY leans towards a bullish trajectory. However, this week's strategies are tailored for counter-trend traders. For position traders, keep an eye out for a potential Bearish Bat Pattern forming at 149.28. Exercise patience and await confirmation before making a move. Zooming into the 4-hour chart, an ABCD Pattern coupled with an RSI Divergence at 147.77 provides an intriguing setup. If the market doesn't exhibit a significant gap upon opening, this could shape up to be a promising strategy. 🤔 What's your play in this scenario? Share your trade plan in the comments! 🗨️💡
Short
by RaynLim
Rediscovering a Classic: GBPUSD TradingAh, the good old days! This GBPUSD setup takes me back to my early trading days. The strategy? Simple yet effective: buy at support, sell at resistance. While some may view it as a scalping trade, dismissing it as low volatility, here's the kicker — there's a potential 56 pips in profit. 💰 My game plan? Patience. I'll wait for the next support retest, keeping an eye out for that magic candle confirmation before making my move to buy. Alternatively, if the market hits resistance, I'll await the same confirmation before considering a sell. 🕯️🔄
by RaynLim
Bearish Momentum Continues!📉 Monthly Chart: - Support at 0.6160, but no end to bearish trend. - Consider countertrend moves carefully. 📉 Weekly Chart: - Market near resistance, but don't miss the bigger picture. - Be cautious with countertrend trades. 📉 Daily Chart: - Strong bearish movement. - Market shows weakness at previous resistance. 📉 Four-Hour & One-Hour Charts: - Potential countertrend opportunities, but be cautious. - Look for confirmation before engaging in trades. 💡 Trading Strategies: - Weekly chart: Gartley pattern at 0.6173 for patient buyers. - Daily chart: Bullish crab pattern at 0.6191 for buying opportunity. - One-hour chart: Counter trend buying opportunity around 0.6400 if market breaks lower.
Long
by RaynLim
Bearish Signs Emerging!📊 Weekly Chart: Overall bullish, but watch current candle. 📈 Daily Chart: Bearish movement, key level 1.0766. 🕓 Four Hour Chart: Sensitive period, focus on 1.0766. ⏳ One Hour Chart: Multi-timeframe analysis. 🔍 Higher Timeframes: Confirm breaks below key levels. 🚀 Aggressive Short Opportunity: Wait for trend line retest. Look for break below 1.0705 or 1.0651. 📉 Weekly Chart Analysis: Trend line broken. Set alerts for retest. Consider aggressive shorting. 📊 Daily Chart: Wait for retest for aggressive short. Potential 130 pips opportunity. 🦈 Four Hour Chart: Shark pattern may be invalid. Customize chart for accuracy. 📈 One Hour Chart: AB=CD movement. Wait for 3-bar reversal for buying. Double bottom with RSI divergence.
by RaynLim
A Twist in the Bullish Trend?Despite the prevailing bullish movement on Dollar Yen, a shift in strategy beckons this week. Embark on this journey with me. On the weekly chart, a slight break and closure above the prior high is evident. The magnitude of this "bit" rests upon your filters – will the subtle breach be overlooked? An RSI divergence, however, raises concern. This divergence surfaces as the market forms a matching or higher high, prompting my consideration for a shorting prospect. ⚖️📊 Transitioning to the daily chart, the market once again surges beyond the previous high. While it fails to breach the previous RSI level, the prolonged nature of this movement merits contemplation. Could these statistics indicate a formidable resistance? Food for thought. 🗞️🤔 The four-hour chart illustrates the market's ascent, setting the stage for a potential shorting opportunity upon a retest at 146.40. Zooming in further to the one-hour chart, a structural standpoint reveals potential trading setups. Amidst this, the buzz about the Bank of Japan's potential market intervention simmers. As a prudent trader, I advise cautiousness, keenly observing the hard facts and policy shifts that could impact the Japanese Yen's trajectory and consequently, Dollar Yen. 🏦🌐 For enthusiasts interested in mastering the art of news-driven trading, scan the QR code to enter our community chat. Verification unlocks access to our filtered news, arming you with valuable insights. 💼🌍 Returning to the weekly chart, trading strategies come into play. A bearish bat pattern at 149.29 piques my interest, a setup I've been highlighting for weeks. The daily chart offers parallel setups, including the aforementioned bearish bat pattern and a bearish crab pattern that could emerge around 150.44. The latter's fate rests upon the strength of the Bank of Japan's intervention and policies. 🦀📈 Within the four-hour chart lies a counter-trend opportunity at 147.76, rooted in the ABCD pattern setup. For trend-oriented traders, a potential buying entry hovers at 144.02 upon retest, drawing support from established levels. However, my focal point remains the one-hour chart, spotlighting a potential shorting opportunity through the shark pattern. Should the market reach 146.30, I envision an enticing entry. As the specter of Bank of Japan intervention looms, my exit strategy might involve one week post-intervention for potential profits, grounded in years of market observation and trading experience. ⏰📈
Short
by RaynLim
Will the BoJ intervene...The USDJPY trades with choppy price action between the 145 and 146 price range. With increasing comments about the weakness of the Yen and the possible invention from the BoJ, the longer the USDJPY stays at this price level, the higher chance we are likely to see an intervention. However, we cannot rule out a continuation of the upside, especially if the DXY recovers in strength. I would avoid further trades to the upside, and wait for possible counter trend reversal. But speculative counter-trends setups have a higher likelihood of failing (the trend is your friend)
Short
by JinDao_Tai
2
Chart vs. HeadlinesLet's debunk some headlines like "The Dollar is Bearish!" and dig into the real chart dynamics. On the weekly chart, a bullish trend is evident, despite a retracement that might seem bearish. Always consider the bigger picture. The recent retracement is a mere blip compared to the overall uptrend. 🔍 Key Levels to Watch 🔍 Zoom out and observe the retest happening on the previous high. Keep a close eye on whether the market breaches 145.24. The next crucial level to watch is 152.02. Chart analysis trumps online articles. Don't just read, define your levels strategically. 💡 Daily Chart Insights 💡 Approaching the previous high on the daily chart, counter-trend traders might eye shorting opportunities. However, wait for candlestick confirmation before executing. Personally, I see a breakout trading opportunity, not an aggressive short. 📊 Four Hour Chart Dynamics 📊 New highs surpassing previous structures on the four-hour chart indicate the bullish trend persists. This trend isn't over. One hour chart mirrors this pattern—a break of prior resistance. 📚 Mastering Market Analysis 📚 If you're passionate about analyzing markets like I am, employing clear rules for buying and selling levels is vital. No guessing games. Scan the QR code for our community channel. Engage with like-minded individuals and refine your skills. 💼 Crafting Trading Strategies 💼 Returning to the weekly chart, counter-traders might spot a shorting setup at 149.28 for a Fib-3 Bat setup. On the daily chart, a crab pattern at 150.39 forms, with a Bat pattern completion at 149.16. ⚙️ Shorting Opportunities ⚙️ For those inclined towards shorting, the ABCD pattern on the four-hour chart sets a stage at 147.80. My focus? Buying opportunities. A pullback to 144.02 holds potential for a buying window. 🔎 Immediate Insights 🔎 On the one-hour chart, a closer level of interest stands at 144.46—a promising buying opportunity within the buy zone.
Long
by RaynLim
📈 Navigating Euro-Dollar Trends: Trading Insights 📉Greetings, fellow traders! Let's delve into the Euro-Dollar trends and identify some potential trading opportunities. 🌍💱 📊 Weekly Chart Insights 📊 The bullish trend continues with a notable pullback, keeping our attention on the upswing. The market's pullback has tactfully avoided breaking crucial support at 1.0637. Transitioning to the daily chart, we find ourselves back in the buy zone. 🔍 Spotting Entry Points 🔍 For those eyeing a buying opportunity, a bit of patience might be wise as we await further confirmation before engaging the trade. The four-hour chart showcases an enticing support level at 1.0921, primed for a potential buying entry. Similarly, the one-hour chart hints at a possible pullback setup. 🔎 Charting Trading Prospects 🔎 Weekly Chart: Trend traders might consider a shorting possibility on a retest at 1.1232. Daily Chart: Watch for confirmation at 1.0913 for a buying opportunity. Four-Hour Chart: A bearish bat pattern completion at 1.1134 could intrigue shorting enthusiasts. For buyers, a bullish bat setup may require a magic candle confirmation at 1.0883. One-Hour Chart: An AB=CD movement completion at 1.0914 offers a potential entry point. 📅 Seizing Opportunities 📅 This week presents an array of trading prospects. The key is clarity in your trading intentions. Are you pursuing a trend trade, a counter-trend pullback, or simply capitalizing on setups as they arise? Planning using the A.P.E framework—Analyze, Plan, Execute—can be your compass to success. 🚀 Ready for Trading Success? 🚀 For those keen on utilizing the 15-minute-a-day A.P.E technique to enhance your trading prowess and boost income, don't hesitate to reach out. Elevate your trading game with strategic precision!
Long
by RaynLim