Get started

Rsi_overbought

GBPUSD possible Divergence tradeHey, traders. Here on the GBPUSD, we have a great example of a CTS type of trade. This market is at a previous HTF level of structure. It has also gone overbought on the RSI on higher time frames. Now, that alone is not enough reason for me personally to enter a trade, but taking it down to an hourly chart, here we have a nice double top. This double top looks great but I still needed to see one more thing for entry.. Divergence. This double top is accompanied by RSI divergence. All of this combines to make a good possible trade. It is very important to remember that we have to incorporate many things into a trade, not just one entry reason, or the fact that the market is at resistance/support. In order to have optimal results as a technical trader, we must incorporate conditions along with entry reasons to create a successful strategy. Hope this was helpful. I do private ideas for FREE each week to everyone who is signed up for the email list at The Trading Channel. There is a link below to sign up for FREE. FREE private ideas: www.thetradingchannel.net FREE training: www.youtube.com
Short
by StevenH
7
Potential Short entry at GBP/USD Daily (Gartley Pattern) (11/9)If the market price goes as the same pattern as before, there is a possible market entry for sell position at GBP/USD Daily. The price potentially build a gartley pattern in combine with fib retracement + fib extention. Furthermore, the rsi and stochastic gave you a signals that the price has already in the overbought area, and potentially will go down. In combining such method,place a sell order and aim the TP1 at the 1.30284, TP2 at 1.27624 and place a SL at 1.32910. TP1 is the previous nearest support of a structure, and TP2 is the possible of D leg of gartley pattern including the price of where the 0.786 fib retracement is + mayor resistance (black line) + fibo ext of 1,272 which potentially make a D line of Gartley pattern. Good luck, and Happy trading!! ;)
Short
by fayfahry
Technical Double Top Could Lead to JP Morgan Chase (JPM) DropJP Morgan Chase & Co recently achieved a double top pattern. This pattern is a significant technical signal that normally sends the stock down to a common level of support. The double top and other technical indicators are detailed below. JP Morgan Chase has been in a long term bull trend and will most likely continue after the stock drops. When we look at technical indicators, the relative strength index (RSI) is at 55.7791. RSI tends to determine trends, momentum, overbought and oversold levels as well as likelihood of price swings. I personally use anything above 75 as overbought and anything under 25 as oversold. Currently the RSI is neutral and has been moving downward. It is roughly at the same level it was last time a top was reached. This lead to a continual decline for the RSI and the stock. This is the first indication of likely downward movement in the short-term. The positive vortex indicator (VI) is at 0.9785 and the negative is at 0.9991. When the positive level is higher than 1 and higher than the negative indicator, the overall price action is moving upward. When the negative level is higher than 1 and higher than the positive indicator, the overall price action is moving downward. The positive and negative levels have been moving in a manner consistent with downward movement for the stock The negative indicator has been rising at the same time the positive has fallen. They have just passed each other which will lead to a continual decline for the stock. Once again, this indicator is roughly at the same level it was when the last top was declining. This is the second indication of likely downward movement in the short-term. The stochastic oscillator K value is 63.1339 and D value is 76.4461. This is a cyclical oscillator that is highly accurate and can be used to identify overbought/oversold levels as well as pending reversals and short-term activity. I personally use anything above 80 as overbought and below 20 as oversold. When the K value is higher than the D value, the stock is trending up. When the D value is higher that the K value the stock is trending down. The stochastic is departing overbought territory which tends to lead to a decline for the stock. This is the third indication of likely downward movement in the short-term. This indicator is also near the same level it was as the last top was declining. SPECIFIC ANALYSIS The first top occurred in early March. The stock proceeded to drop 13.13% over the next 62 trading days before rising again. The light blue line across the chart represents 86.56 which has been a commonly hit mark for the stock in its recent uptrend. The aforementioned top to this level took 14 trading days to occur and resulted in a 7.90% drop. Since the stock first broke above the 86.56 mark in December 2016, that line was in a trading day's range 43 times. That is 30% of the previous 144 trading days. This common level will most likely be hit or provide support for the stock over the following 41 trading days. The final level studied which is most strongly dictating my conservatively placed projection is a Fibonacci retracement. According to Investopedia, "Fibonacci retracement is created by taking two extreme points on a stock chart and dividing the vertical distance by the key Fibonacci ratios of 23.6%, 38.2%, 50%, 61.8% and 100%.". A 61.8% retracement from the bottom to the top of the recent vertical distance marries up exactly with the 86.56 level. If the stock were to give back 100% of its most recent movement (May 31 low of 81.64 to July 6 high of 94.51) the stock would drop to 81.64. This is the fourth indication of likely downward movement in the short-term. Considering the RSI, VI, stochastic levels, and recent movement from the last top, the stock should see downward movement over the short to intermediate time period. Based on historical movement compared to current levels, the stock could drop at least 5% over the next 29 trading days if not sooner.
NYSE:JPMShort
by StockSignaler
EURGBP ready to reverse? My point of viewHey guys, in front of you you see an hourly chart on EURGBP. The daily outlook of this pair brought me to such lower timeframes: we have a daily resistance here that could push price lower and we're moving in an overbought condition on RSI. This gave me reasons to believe it could be a reversal when i saw the retest failed at the first touch of that previous hourly resistance. Now, i know it's risky because we're against the trend, but my strategy tells me i can take this trade and aim for the lows for the first target and well below that level with my second target. Stops would go above recent highs. If you have questions/ideas, share down below. Otherwise, see you in the next chart!
Short
by Roker1
4
EURGBP could be at the highest point now.Hey guys, in front of you you see an hourly chart on EURGBP. The daily outlook of this pair brought me to such lower timeframes: we have a daily resistance here that could push price lower and we're moving in an overbought condition on RSI. This gave me reasons to believe it could be a reversal when i saw the retest failed at the first touch of that previous hourly resistance. Now, i know it's risky because we're against the trend, but my strategy tells me i can take this trade and aim for the lows for the first target and well below that level with my second target. Stops would go above recent highs. If you have questions/ideas, share down below. Otherwise, see you in the next chart!
Short
by Roker1
Still Bullish about OmiseGO?RSI on 3 hour chart is on its half way from an oversold area. On 6 hour chart there is only a beggining of the changed direction. This is a very high game with strong temptation to get in. We need to realize that market was pushing full speed ahead for the last few days and yesterday we started to see first signs of exhaustion . If you managed to stay out yesterday give it at least one more day till the momentum of the previous growth will disappear. If we hit the 6.00 area I would enter the market after a strong confirmation of changing the dirrection. Watch stochastic RSI closely. 3 hour chart could help together with high volume and a few decisive green canles on 5 - 10 min chart. Use your Risk - Reward management rules and tools. It is very easy to lose money in this type of conditions. Thank you for watching. Don't be shy to give me a feedback. Greatly appreaciated. Good luck and peace!
BITFINEX:OMGUSDLong
by AwesomeTrade
5
Short Setup on AUDNZD?Hey guys, lately this pair had a huge increase in value, and that's due to AUD strenghtening over the last period. But this doesn't mean we can't look for shorting opportunities if they come. In this case we have an oversold condition on RSI at a structure daily level along with 618 retracement of the bigger daily leg. The conditions for a retracement are there, and i call it a retracement because i think this is definitely continuing in his upward direction overall. So be aware of it and play it safely. I'm waiting for a confirmation on this timeframe or the hourly. I'm going to update you in case of entries. Feel free to comment below, for any questions or ideas to share. Otherwise, see you in the next chart!
Short
by Roker1
ETH/USD : Sell opportunity ** Hey guys ! Here is a potential bearish setup on the ETH/USD Accumulation of : - Fibonacci ( Multi lvl ) - Resistance zone - Daily downtrend ( blue ) - Lot of H4/H2 trend as resistance . - Rsi overbought ( to be ) I will update this setup using a multi time frame stochastic strategy for perfect a perfect entry so be sure to follow me . I suggest to wait for a reversal sign . Breakeven after tp1 , breakout of the downtrend is possible at this level .
COINBASE:ETHUSDShort
by Foralex
5
Trend & Structure on AUDCADHey guys, this is the 4hr chart on AUDCAD and, as you can see, price has managed to break and close below a key support level (on the daily) @0,9950. Since this happened, we can now expect to see support turning into resistance, following the trend established in the downward direction. This zone also helps us creating a comfortable area where we can have good stops and good potential reward, with a nice RR ratio. The yellow box signals the are where i'm going to consider a short opportunity. If you want to ask questions or comment, feel free to write below. Otherwise, see you in the next chart!
Short
by Roker1
2
Read the Trend on AUDCAD!Hey guys, this is the 4hr chart on AUDCAD and, as you can see, price has managed to break and close below a key support level (on the daily) @0,9950. Since this happened, we can now expect to see support turning into resistance, following the trend established in the downward direction. This zone also helps us creating a comfortable area where we can have good stops and good potential reward, with a nice RR ratio. The yellow box signals the are where i'm going to consider a short opportunity. If you want to ask questions or comment, feel free to write below. Otherwise, see you in the next chart!
Short
by Roker1