4.5% Risk
Reasons for entry:
- Price could break through and continue the 4hr down trned
- Hidden divergence showing bearish strength
Reasons to not enter:
- Day trend is still up/consolidation
- Price could actually be forming a reversal double bottom
Overall sentiment
It seems like the price is going down, I’ve placed a sell stop a little bit below the support line, that way if price does break through it’ll trigger a trade but if the price reverses instead it’ll leave it alone without triggering a trade.
Confidence level at start of trade: 7.5
Confidence level during trade:
**POST TRADE COMPLETION**
Result: Take profit hit
What went right?
- RSI DIVERGENCE – Followed the hidden bearish divergence and trusted it
- Entered trade below an S/R line so that the trade would only start if the price broke through
What could have been improved?
- The T/P could have been longer, the S/L was a bit too tight