Failure at the RN

Afternoon Dynamic Traders,

The CHF has had a change of heart over the last 2 days. Yesterday I spoke about how price would have to beat the RN if it wants to continue climb. Yesterday price failed at the RN and dropped towards the VI. This failure at the RN offered us a chance to go short and catch some profits.

“How”? I hear you ask!













If you look at the 4 hour chart below you will see that we have a double top at the RN. This double top is also present on the hour chart also, which means that we have 4 confluences of events. If you managed to get triggered into this trade very well done!

So what’s price doing now?

If you look at the same chart above, you see that price is currently playing around the same area as the value index and this also happens to be around a fib breather level. There is every chance that price is taking a breather because the VI will acting as support and this area is also an S/R area.

It will be very interesting to see what rest of today brings to see if price is in a breather or in another down trend.

Hope you all have a great weekend

Happy Trading

Richard Monnery