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Redtone entering back into the ascending triangle.

Written By Unknown on Thursday, 15 November 2012 | 4:57:00 pm

Sadly, look like the first attempt to break up away from the ascending triangle failed due to profit taking after the news was out..


Indicators
1) Trendline - Broke above the Uptrendline (Bullish)
2) Support/Resistance - Formed higher low and higher high  (Bullish)
3) MACD - Formed 4G1R (Bearish)
4) RSI -  Broke above 50% (Bullish)
5) STO - Bearish Crossover and  broke below 80% (Bearish).
6) Ichimoku - a) Above  support cloud (Bullish).
                       b) Conversion line above the base line (Bullish).
                       c) Price above the baseline ( Bullish)
7) Candlestick - Black Candle after spinning top.. Bearish) . Since this is a low volume high chances of profit taking after the news..
8) Pattern - Ascending triangle.. If break above from 0.41 , the TP for this pattern is 0.5 (20%)




Conclusion:
Bullish -
Look like the first scenario failed and let hope it will be option number 2..
The is a few scenarios for this pattern. 
1) Break above 0.41 on the next following day  (FAILED)
2) Retrace to 0.38 and then incline back to test the 0.41
3) Break below 0.38 and negate the ascending triangle pattern



E ( Entry) :0.395 ( Closed at or above it)
S ( Stop Loss) : 0.375
P ( Profit) :0.425
RRR (Risk to Reward Ratio) = 1.5 (Average)

E ( Entry) :0.395 ( Closed at or above it)
S ( Stop Loss) : 0.375
P ( Profit) :0.435
RRR (Risk to Reward Ratio) = 2 (Average)



Resistance  0.41 / 0.435 / 0.45 / 0.46 / 0.5 ( Ascending Triangle TP)
Support    0.38 / 0.372 / 0.36










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