Scenario :
1. Support was tested several times and finally (looks) a breakdown. Maybe some traders will sell on break support.
And put SL a little above the candle that breaks the support. But the price made a pinbar / hammer , went back up and touched SL.
2. After the SL is touched, the price finally breaks the trendline and closes above it.
Traders will think this is a false break with the trendline breakout confirmation and become a best time to buy with SL just below the previous low. However, prices fell back and touched SL for the second time.
3. After the SL has been touched, the price create a pinbar which is an indication of buyer's pressure.
Traders might think not to be fooled once again and think that the support is really broken and decide to sell in the SBR area with SL above the previous high. But again, the price was not friendly and touched SL once again.
1. Support was tested several times and finally (looks) a breakdown. Maybe some traders will sell on break support.
And put SL a little above the candle that breaks the support. But the price made a pinbar / hammer , went back up and touched SL.
2. After the SL is touched, the price finally breaks the trendline and closes above it.
Traders will think this is a false break with the trendline breakout confirmation and become a best time to buy with SL just below the previous low. However, prices fell back and touched SL for the second time.
3. After the SL has been touched, the price create a pinbar which is an indication of buyer's pressure.
Traders might think not to be fooled once again and think that the support is really broken and decide to sell in the SBR area with SL above the previous high. But again, the price was not friendly and touched SL once again.
4. The price finally made an upside impulse and formed a bullish pennant which became a continuation pattern.
With this pattern the trader should take a long position. However, due to doubt and don't want to become a victim of SL for another time, trader decided not to open a position. And the result is price actually goes up without being able to get some profit.
After being hit by SL several times it does disturb our emotions as traders, but if we have calculated each risk of SL before jump into trade and put SL which suitable with our risk tolerance, it shouldn't be a problem.
JUST ENJOY THIS PROCESS
With this pattern the trader should take a long position. However, due to doubt and don't want to become a victim of SL for another time, trader decided not to open a position. And the result is price actually goes up without being able to get some profit.
After being hit by SL several times it does disturb our emotions as traders, but if we have calculated each risk of SL before jump into trade and put SL which suitable with our risk tolerance, it shouldn't be a problem.
JUST ENJOY THIS PROCESS
Patternception
running. move SL to breakeven. FREE RISK TRADE
close to breakeven
price break S/R level. if you still not in this trade, you may buy when price pullback to S/R area