- At the time of entry background was strong – o’k
- No strong signals at this price level before trend changed. This is a mistake. Only strong signal + strong background can guarantee that there is imbalance between supply and demand in favor of demand.
- Dynamic trend turned from red to green – o’k
- The trade was opened in a low spread up-bar when the price didn’t move too far after trend changed – o’k
- At the time of entry background turned to strong. It means that imbalance between supply and demand is now in favor of demand.
- We have a long-term support in the chart. This support was established by previous low. Several strong signals (Major and Minor Demand) appeared as the price was approaching the support. One more strong signal here: Shake-out – wide spread down bar accompanied by high volume. But next bars are bullish and we see price reversal. It means that it was a stopping volume which contained more buying than selling. Otherwise the price would have continued to move downwards.
- Dynamic trend turned from red to green.
- Entry – when the background turned to strong in a low volume down bar.
- Exit after reaching TP level.
Total: +105 Pips
