I just exited my GBPAUD Bear TCT. The reason I exited is because my Trading Plan says all Breakout Patterns take priority over all other types of trades. GBPAUD is forming an Ascending Triangle.
Typically these patterns occur after a long heavy downtrend and mark the temporary bottom. There is so much room to the upside for a market correction. Also it's important to note that after 8 days of selling the Daily candle printed a Doji. So we will see what happens.
In my opinion the upside Breakout makes the most sense and is more likely. However, I have no idea which way it will breakout. I will be waiting for a Break & Close out of the Pattern and will initiate my position at that time. I will be trading this pattern in either direction.
Typically these patterns occur after a long heavy downtrend and mark the temporary bottom. There is so much room to the upside for a market correction. Also it's important to note that after 8 days of selling the Daily candle printed a Doji. So we will see what happens.
In my opinion the upside Breakout makes the most sense and is more likely. However, I have no idea which way it will breakout. I will be waiting for a Break & Close out of the Pattern and will initiate my position at that time. I will be trading this pattern in either direction.
