I'll be scouring the charts for "actionable masterpieces". These will be signficant chart patterns or set-ups that I feel are not only tradeable, but also have a high probability of making big profits with little risk. Whenever I spot an "actionable masterpiece", I will post an annotated chart (my chart art) along with an explanation. My goal is to help you learn how to spot these low ocurring but highly profitable "actionable masterpieces" yourself.
Sell EUR/USD
Has this pair topped out in the short term? It seemed like it was going to test the 1.40 handle but couldn't even reach 1.3990 before weakening. There is bearish divergence present with price forming a higher high and the oscillator forming a flat high. With long positions at extreme highs, I'm looking for at least a short-term correction since some traders probably plan to take some profits off the table.
I'm going to go short at market price (1.3960). My stop loss (SL) will be 1.4030. My profit target (PT) will be 1.3850. If price continues, I'm even looking at possibly scaling in another short position since I feel the 1.40 handle is a huuuge psychological resistance level. I will post any trade adjustments below in my comments section.
Sell EUR/USD @ 1.3960 | SL: 1.4030 | PT: 1.3850
