Breaking long-term blue trend-line on daily chart brings sellers attention.
However because of the two days ago pin bar, there are lots of sell position !
These sell positions must be kicked out of the market before heading downward.
So, stops will be triggered if price goes above the the pin-bar, then most of the retailers will be dropped out of the market before falling, seems acceptable, doesn't it ?!
Then after touching the BLUE trend-line the large sell positions will be triggered, this is the correct time for selling.
Likely if the price touches the BLUE trend-line ( this is the lower band of long-term bullish daily channel ) and at the same time touching RED DASH trend-line ( this is the upper band of short-term bearish daily channel ) , then we expect to have a bearish market.
However not always market moves in our favour, so the stop loss can be closing price above blue dash line, or ultimate dynamic stop loss would be closing above thick RED LINE which has been marked on the chart.
Good luck and wish you all green pips
However because of the two days ago pin bar, there are lots of sell position !
These sell positions must be kicked out of the market before heading downward.
So, stops will be triggered if price goes above the the pin-bar, then most of the retailers will be dropped out of the market before falling, seems acceptable, doesn't it ?!
Then after touching the BLUE trend-line the large sell positions will be triggered, this is the correct time for selling.
Likely if the price touches the BLUE trend-line ( this is the lower band of long-term bullish daily channel ) and at the same time touching RED DASH trend-line ( this is the upper band of short-term bearish daily channel ) , then we expect to have a bearish market.
However not always market moves in our favour, so the stop loss can be closing price above blue dash line, or ultimate dynamic stop loss would be closing above thick RED LINE which has been marked on the chart.
Good luck and wish you all green pips