Yellow circle: Off of a massive 5:30 drop, we get a standard reversal for the rest of the day. We can enter the 1m on the first wave, textbook bullish harami 7J, but also a bullish hammer that breaks the lows. A bit tricky, but have to trust the first wave. Normally, we would aim for a short on the first wave, but we can see that the market is on its way up before the open on the 5m.
Orange circle: 1m makes a couple non-sig bullish reversal candles along the lows during a 5m weak fake 34 setup. This is a non-standard setup, but 5m makes a long bullish spinning top just before reversing, so it’s worth considering.
Blue circle: Later in the move, we get a proper 1m bullish harami 7J during its down wave after the new high, and then a lower low with another bullish harami 7J for the reversal. The second low gives us a bullish harami on the 5m, while the first doesn’t give anything. A bit tricky, considering we usually want the 5m 34 after the fake 34 rejection falls back.
Purple circle: We get another down wave on 1m, much later, barely at a higher price from the previous, as the 5m gradually gets back up to try to reverse the full move before EOD. Bullish engulfing and bullish harami on 1m, both 7J, both producing an immediate profit and never getting tested again. Standard on 1m, though ugly on 5m, because EMAs are not stacked. Essentially, we just end up wanting to take every wave on this day.
