WXY Triangle

Idea is that we are in wave B, and a wave Y triangle of lesser degree. When I saw this count and it appears to be adhering to rules, I actually market sold because we are in the middle of the range. I have a VERY clear SL, assuming that wave C of the triangle is complete.

If C is not complete, I have a decent risk of being stopped out.

Expecting E to stop short of the upper line, so my entry is OK.

Lets see!!

Kommentar:

Well... This trade had me so confused. I had to re-read the triangle rules lol. Everything went great UNTIL I watched the E wave PA go above the A-C TL and break above it over several H1 candles. That to me invalidated my count, so I closed my trade in a loss.

Well what do you know, the trade turned and went in my favor. I saw that it is not uncommon for the E to stop short or GO ABOVE the TL. Now I will remember that.

Smll loss but I missed out on potential profits.