Hello traders! 👋
Hope you're all having a strong and focused week in the markets. Let’s take a moment to walk through this beautifully structured 5-leg wedge formation on EURUSD.
📌 Pattern Breakdown
We’ve just seen a clean completion of a 1-2-3-4-5 descending wedge sequence — each leg clearly defined and well-behaved within structure:
🔹 Wave 1 to 5 forms a compression wedge
🔹 Wave 5 completes at the lower boundary
🔹 Price reacts aggressively from 1.1662 low
This bounce is now headed back into a key decision zone:
🔸 The WALL between 50%–61.8% fib retracements (1.1699–1.1707)
🔸 Lining up with prior structure + downward trendline pressure
🚧 What Now?
We’ve got:
A reaction off a completed wedge
Price heading into a confluence wall
Dynamic resistance (dashed trendline) overhead — watch the red arrows
A rejection from this zone could provide the next wave of momentum. On the flip side, a clean break through might lead to trendline breakout continuation.
🧠 Key Concepts
✅ 5-wave compression
✅ Completion + reversal reaction
✅ Fib & structural confluence
✅ Clear invalidation + decision-making level
🗝 Final Thoughts
This is what we call measured trading. Let price show you what it wants — structure gives the framework, and reaction gives the trigger. Stay disciplined and always let the pattern prove itself.
#TradeChartPatternsLikeThePros
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.