This buy trade is likely to be a good one as it looks like sellers are losing strength. This is because, sellers retraced almost 100% of leg 1. However, sellers are struggling to beat their record of 100%, this time only 50%, given price movement at the time of the analysis remains the same.
One can argue that sellers came in at the completion of the Bearish Bat Pattern. If sellers are strong, why can't they repeat what they did the previous time?
Therefore, leg 3 is very likely occur giving an opportunity for a buy trade.
If you are trading this, use a strategy you have tested and verified.
6.1.8. Family.
More Than Just Trading.
One can argue that sellers came in at the completion of the Bearish Bat Pattern. If sellers are strong, why can't they repeat what they did the previous time?
Therefore, leg 3 is very likely occur giving an opportunity for a buy trade.
If you are trading this, use a strategy you have tested and verified.
6.1.8. Family.
More Than Just Trading.