IF I AM A BULL: Currently price is at resistance (bearish trend and consolidation zone). I do not want to buy into resistance. My two options are to wait for a strong break and retest of resistance zones. Or wait for a deeper retracement of the previous upswing (about 50% to 78.8%) before looking for a buying opportunity. Waiting for a deeper retracement creates more space to get a better risk to reward ratio. The buyers have a lot of traffic overhead to get through. As a buyer look for breakout bear traps at the buy zones. As always wait for price action to confirm the reversal.
IF I AM A BEAR: After a strong up move, price is now trading at the top of the bear channel and within the previous consolidation zone. I am looking for selling opportunities at the various resistance zones indicated on the chart. As a seller look for breakout bull traps at the sell zones. As always wait for price action to confirm the reversal.
I may trade all, some or none of the ideas posted. All of my contributions are for educational purposes only. 'TRADE What You SEE'' and all the best!
