I just wanted to share my DAVIN trade post-mortem for no reason. =)
1) It was a confluence of supports at 1.77 to 1.79 level. Falling wedge, parallel support, SMA 100. The end of day candlestick was a doji. Very good RRR at that level.
2) 1.77 was 78.6% fibo level. Fibonacci Ratio fans are ALSO waiting here. It would have been perfect of they just let it slide exactly towards 1.77 so my chart looks flawless. =)
Of course it was a sell on day 3, after it failed to stay above 50% fibo . The high of 2.42 was a few ticks away from 38.2% fibo.
3) Of course, since it was Day 3, we would all have been looking at the 3 minute chart by then. The sell was due to RSI crossover below 70 , and EMA bearish crossover .
So congratulations to DAVIN bouncers!
…and that is how it’s done….