EURUSD Counter-trend Trade

I didn't took this trade because i saw it later on when the r/r wasn't appropriate for trading

So my divergence set up occurred again in the 4H time frame and has been confirmed in the 2H time frame and the 5 min

Note

When the LLC formed AND we had RSI in an oversold area AND MACD histogram formed with this curved way AND below a certain level (depends on the instrument) AND
When the second LLC or even close candle form AND and RSI divergence occure AND at this particular second candle RSI diverge within the 19-20 limit AND MACD (blue line) has a positive or neutral direction

AND those conditions meet in both of those time frames the 4H AND 2H

THEN...! We are looking for an entry in the lower time frames like the 5 min

Note

Two set ups occurred in the 5min

In the first set up we have Fib extension confluence and a second retest with divergences

In the second only the 1.618 extension and a slight offset rsi divergence... Still highly probable set up because as you can see the rsi was in oversold conditions when the price was at higher levels than the second leg

jaktrader

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Long Counter-trend trade

by jaktrader

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