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Consolidationzone

XAUUSD: BEARISH DESCENDING TRIANGLE IN THE CONSOLIDATION ZONE !!Hello Traders, I’ve been watching FX:XAUUSD for about a week and been trying to find a setup for entering into the strong bearish trend, at least for the short term. Zooming out the price action chart, I was able to recognize a really well developed chart pattern which is called the descending triangle. These types of triangle are usually taken as bearish signals and they can form in both bullish and bearish trend markets.This type of triangle patterns form when market price gets very volatile and later begins to consolidate into a tight range. This consolidation phase gives us (the traders) time to setup our entry when a breakout occurs. In descending triangles the sellers are continuously putting pressure on the buyers, which results in the formation of lower highs and strong support level. The first primary target, after getting the breakout to the downside, is equal to the height (x) of the descending triangle. I have also labelled two additional major target levels, if you are planning to have more than one shorting position for this setup. The first major target level is very close to the 2nd and 17th December lows. The last major target is the bottom of the consolidation zone, which could potentially act as strong support level. Once the downside breakout has formed, stop loss will be placed above the falling trend line (trend line connecting the “a”, “c”, and “e” points). A breakout to the upside would invalidate the bearish triangle pattern. I have also attempted to label the price action within the descending triangle by using Elliot Wave Theory. If there are any mistakes in my wave count, please don’t hesitate to point them out, as I really want to understand this theory the correct way. Please feel free to AGREE or DISAGREE with this idea by leaving a comment below. Hit that thumbs up button (top left corner of this chart) if you like the idea. Thank you everyone for all the SUPPORT that you have given me so far, I truly appreciate it. Good luck everyone :) Follow me on Twitter as well: moneymaking2016
FX:XAUUSDShort
by moneymaking
3
USDCAD: SYMMETRICAL TRIANGLE WITHIN CONSOLIDATION ZONE ON 4 HR!!Hello Traders, Here we have a VALID SYMMETRICAL TRIANGLE on FX:USDCAD , which has formed within the consolidation zone. We have been in this consolidation for the past 15 days and this probably has to do with the upcoming Fed interest news this Thursday. Everyone is just trying to be on the safe side and the direction will probably be more clear after the Fed news. This type of consolidation can be seen in almost any FX pairs, but it's more obvious in pairs related to USD, like EURUSD, GBPUSD, AUDUSD, NZDUSD, etc. For this pattern I have labelled 3 potential targets each with a same -50 pip stop loss. 1st target can be taken at the lows of the consolidation zone, while the 2nd target can be taken at the 127.2% Fib extension for A and B points. And the last or 3rd target is the measured target, which is equal to the distance between points A and B, which is approximately about +236 pips. NOTE #1: The current candle has broken the triangle to the downside and most likely will close below the bottom of the triangle. Wait for the retest of the triangle before entering into the short trade. Be ready for any type of possible false breakouts, especially since we are in a consolidation zone. Please feel free to AGREE or DISAGREE with this idea by leaving a comment below. Hit that thumbs up button (top left corner of this chart) if you like the idea. Thank you everyone for all the SUPPORT that you have given me so far, I truly appreciate it. Good luck everyone :)
Short
by moneymaking
15