In Progress or Preparing to Buy Into A Re-Test of The Previous Breakout Level
What does this strategy entail?
The instrument is in a short-term downward trend over several days, having previously broken out of a range. The price may react to company-specific news flow or be sold in overall market weakness. The price then re-tests the previous breakout level, with the price finding support at or around the prior breakout range. The continuation or bullish reversal is confirmed by a strong candle structure that develops in the subsequent session. The strategy is ideal for ultra short-term/active traders looking to capitalize on retracements in a bullish short-term trend. The technical trend rating could also read neutral or high bearish momentum / approaching oversold.
The tickers highlighted assume no existing position held by the trader while the setup is confirmed on the preferred candle structure developing during the upcoming session(s).
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