Last week we looked at the following chart sequence showing an obvious symmetrical triangle pattern within my higher timeframe chart.
See here if you missed the recent article – https://yourtradingcoach.com/trading-process-and-strategy/higher-timeframe-pattern-breakout/
I don't know if I was somehow influenced by that article. I don't usually look for patterns on the higher timeframe chart. It's primary purpose is for establishing an S/R framework.
But since putting that article together, I'm seeing them everywhere! 🙂
As I said last week… sometimes they just stand out as so obvious that you can't miss them. So I watch them for potential trade opportunity around the edges of the pattern structure. Usually for two alternatives – a breakout failure or a breakout pullback.
So let's do one more example. A little different this time in that the breakout extends much further before commencing the pullback. The same concept applies though – take the first pullback against the edges of the structure.
Here's the higher timeframe chart…
Zooming in now to the Trading Timeframe chart at the time of entry.
Two steps:
(a) Higher Timeframe pattern
(b) Trade BPB / BOF around the edges of the structure.
It's not how I typically trade, but I expect a whole strategy could be based around the idea.
Happy trading,
Lance Beggs
