Short Trade Rules:-
In hourly chart
- Price retest at least (rejected) at 2 MA high or 1 MA high and mid BB.
- If retest all 3, (2 MA & mid BB) is even better.
- MA should close to each other.
- Retest should near mid BB.
- Price below mid BB.
In 4 hour chart:-
- All mid BB, MA high, MA low and low BB must be parallel to each other. The wider the distance is better. (it show price got momentum to continue to the down direction).
In 15 minutes chart:-
- This rule is a discretionary.
- Better if high MA is outside the top BB. (not compulsory)\
- Can be a candlestick formation like shooting star, hanging man, engulfing. (it must very near or touch top BB).
- Show some failure to penetrate top BB.
Entry:-
- If all criteria is there, then entry can be set at 1 pip lower than the lowest point of retest bar in hourly chart.