The first candle is red and weak, so not good as we are looking to go long. However the next candle recovers to above 50% of the first. The next few candles form a consolidation in the upper part of the OR, which is promising.
The 7th candle bounces off the ema, crosses and closes above the OR high and also closes near it's high. All these are bullish in this context and thus this is the entry candle. The next candle continues in our direction so we are still looking good.
Entry: 32.06, Stop 31.74.
Fib Ext: 32.61,
1R= 32.38, 2R= 32.70, 3R=33.02
Then on the next candle , we are stopped out for a loss.
In hindsight we could point to the bearish first candle as possible factor in not trading this long. But maybe more relevant is the longish wicks on the candles during the consolidation period. However I have seen these patterns breakout for good gains. So maybe just take it ? All your trades will not be winners in this game.
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