You made an error when drawing the support/resistance line. You should have drawn the line at the open of the 15 minute breakout candle and waited for the retest , then waited for price to fall below the close of the 15 minute breakout candle before shorting.
It was a good decision to stop & stop yourself out on this.
But what was your reason for buying? You will only be a buyer if the price broker above the pre-NY high. As long as it does not break it's high, you will be a seller on the double test of that high i.e. 1390.
The double test never happened today, so there was no entry trigger.
Ideally, the lowest risk entry is the double test of the pre-NY high or low. High if you are a seller & low if you are a buyer.
Today, the pre-NY open was down. So, on it's double test, you would want to be a seller, unless it broke above 1390.
It never tested the high again. It was a market asking you to chase it for a very high risk trade. And you don't want to be in that condition, and just sit it out.
what do I mean by high risk? your SL will be much bigger than normal.
Today, i shorted the market. I waited for a breakout of the asian session high and i marked the breakout candle with a grey circle. I then noticed a reversal pattern so i marked it with a red circle.
after price started reversing and broke the low of the breakout candle, i didnt jump in yet, i waited for a retest.
Price moved up and retested the resistance level formed by the breakout candle (black dotted line) and even exceeded it then reversed downwards again resulting in a double-fake this morning (see yellow cirlce).
Price has closed below the low of the 15 minute pre-ny candle but it might be a fake break, I will wait for a retest. Lets see if the next 5 minute candle will go up and retest the breakput point
A retest happens but the retest candle is unable to close abovve the low of high of the 15 minute pre-ny candle. Price reverses and starts falling so after it falls below the low of the retest candle, i short the market with a sell order and place my stop loss above.
Nice one @josiah, i took the same trade during the Pre-NY session but my entry was a bit different. After i identified the first 15 minute candle, i noted the candle that broke its low and waited for a retest of the high of the candle that broke the low of the low of the 15 minute candle.
I then waited for a pull back and then shorted the market.
Today, the start of the London session saw price break the high of the Asian session. However, thre was no retest after the break which is suspect and makes me to think the break may be fake.
I will wait for price to reverse downward and retest the breakout level and if it falls below the breakout level I will look for confirmation and short
Yesterday i didnt see the setup i wanted so i didnt trade. However today I have opened a buy orders for eurusd.
I markets the 5 minute candle that broke the low of the london session, then i drew a square around the candle with a black dotted line.
I noticed after price broker below it and reversed upwards, the price is having a hard time closing below the square. So i enter a buy order around 620 and place my stop loss just below the square (aroud 470).
The upward price rally is met by some resistance which originates from Tuesdays london session high. This resistance is putting downward pressure on price causing price to start falling.
