Head & Shoulders/Butterfly C-D leg ConfluencesThese are some of my favorite trades. Trades with tons of confluence if you do not know what confluence is, its basically extra confirmation. My first reason to take this trade was based on a head and shoulders pattern on the daily chart. On the last leg of the head and shoulders it retraced to the 61.8 which is a major fib level for an AB=CD trade. And it formed a double top at that 61.8 level. And on top of that confluence it is the end of a B-C leg of a Bullish butterfly. My entry will be at current market value. Also this trade gives us a great risk reward. These are the trades i put heavy lot sizes on. With that being said good luck and good trading.
