Crab Pattern NZD/USDI see the market in consolidation between $.74 and $.78. It appears that there is a crab pattern forming with a potential reversal zone at the .72225. Upon completion of this pattern the market should rally to the 2.618 extension, or the nearest structure support which appears to be around the .79000. My stop loss is placed at 100 pips below the potential reversal zone, making my risk to reward ratio about 5:1. please like comment and follow if you agree with my approach
Risk-reward
No one knows what to doThe point I'm trying to make with this chart is that currently taking no position at all is the best choice.
A bet on a continuing bull market would result in a 1:1 risk/reward, which is bad.
Shorting might be an option that I didn't consider.
QCOR relative strengthWith markets down around 1% this biotech company showing us relative strength.
It is trading on highs above all key moving averages in very tight consolidation above previous swing high @ $85.50.
Entry here and expect break up of $88.50. If market will show us some strength, this stock could be a good candidate for long.