Rectanglepatterns
REGULAR RHOMBUS AT THE PIVOT LINE OF RECTANGLE RANGE (UPDATE)(This is an update to one published earlier. The rhombus on this chart is bigger than the one drawn on the previous one)
The regular rhombus is a powerful reversal pattern taught by my mentor Rodney Ahenkan (Papa Smurf). I tend to look for it at reversal areas, especially at the pivot lines and support/resistance areas of the RECTANGLE STRATEGY (again as taught by Papa Smurf)
On NZDCAD , I see it has lined up nicely. There are quite a number of indications for a reversal at where price is currently:
1. Price is at the pivot line of my RECTANGLE (the blue line on the chart). The pivot line is a potential area of reversal. If price fails to break below it, then it would likely return to the top of the RECTANGLE .
2. The formation of the REGULAR RHOMBUS (a reversal pattern) at the PIVOT LINE of the RECTANGLE (a potential reversal area).
3. The PIVOT LINE is being tested for the third time. The previous two times, price was pushed back up.
4. There is a clear MACD DIVERGENCE.
All these are powerful technical indications for a possible price reversal.
On the FUNDAMENTAL side, there are 3 red-folder news releases for NZD at 1:00 am this morning, to be followed by an RBNZ Press Conference an hour later.
I would therefore wait to see what price does AFTER the news releases. If it agrees with my analysis, then we're good to go.
If price does break and close above the first triangle, we take 3 trades, one each for TP 1, TP 2, and TP 3.
REGULAR RHOMBUS AT THE PIVOT LINE OF A RECTANGLE RANGEThe regular rhombus is a powerful reversal pattern taught by my mentor Rodney Ahenkan (Papa Smurf). I tend to look for it at reversal areas, especially at the pivot lines and support/resistance areas of the RECTANGLE STRATEGY (again as taught by Papa Smurf)
On NZDCAD, I see it has lined up nicely. There are quite a number of indications for a reversal at where price is currently:
1. Price is at the pivot line of my RECTANGLE (the blue line on the chart). The pivot line is a potential area of reversal. If price fails to break below it, then it would likely return to the top of the RECTANGLE.
2. The formation of the REGULAR RHOMBUS (a reversal pattern) at the PIVOT LINE of the RECTANGLE (a potential reversal area).
3. The PIVOT LINE is being tested for the third time. The previous two times, price was pushed back up.
4. There is a clear MACD DIVERGENCE.
All these are powerful technical indications for a possible price reversal.
On the FUNDAMENTAL side, there are 3 red-folder news releases for NZD at 1:00 am this morning, to be followed by an RBNZ Press Conference an hour later.
I would therefore wait to see what price does AFTER the news releases. If it agrees with my analysis, then we're good to go.
GBPJPY D1- Continue Rectangle or Bullish Dragon Pattern?GBPJPY D1- Continue Rectangle or Bullish Dragon Pattern?
Currency Pair: GBP.JPY
Time Frame: Daily
Predicted Direction: Neutral
- Price bounced several times within PCZ
Entry:
I will open Sell if the price will make breakdown of @138.74 (SL = @141.41, TP = @130.59)
I will open Buy if the price will make breakout of @141.41 (SL = @138.74, TP = @148.73)
GBP.JPY updates will be available in the comments section below.
The brief trade analysis presented above is my predicted direction and requires multiple different indicators and confluence factors prior to validating a trade opportunity.
XAUUSD - H1 - Prediction Bullish Rectangle PatternXAUUSD - H1 - Prediction Bullish Rectangle Pattern @
Trade:
A trade setup occurs when a price closes outside the trend line after at least two penetrations
on each side of the boundaries. Trades are entered on a follow-up bar at "high above the
breakout bar or "low" below the breakdown bar. Potential Entry Line at @1230.13
Target:
Targets in "Rectangle" formations are based on the depth of the rectangle pattern. The pattern
is reliable, and targets are usually set at 70 to 100% of the depth of rectangle from the trade
entry. at @1236.61
Stop:
Rectangle patterns fail when prices retrace in to the middle of the rectangle channel. Place a
"stop" order just below/above the middle of the channel. at @1226.75
NEO/BTC - Looking for Downside to my target buy zoneMy first NEO video, so do please be kind! haha
NEO in my opinion is one crypto that fair rather well in regards to the over all correction within the crypto space. While it did pull back it did not have a massive pull back like most other and instead really consolidated within a zone in my opinion. I speak to this in the video.
At present, I have identified a potential buy zone on NEO if it pulls back based on what I'm seeing in the chart. By no means is this a recommendation for anyone to follow suit.. just what I'm expecting and looking for to play out.
I hope you enjoyed the video, give a like and let me know what you think.
Long Wheat on Technical Breakout from Rectangle PatternI went long on Wheat this morning in my paper account due to my original long commodity thesis. I am actively looking to add more commodity exposure to the portfolio, mainly because that's where I believe the outsized returns will come to home roost. On the weekly charts, wheat has broken through the rectangle pattern that spans back to August of 2017.
I set my stop loss at 4.06, which if hit, would indicate a false breakout and an incorrect implementation of my bullish thesis at that moment.
As always, let me know if you have any further questions or comments.