Hi everyone….

Hope you all well…..

I had the following question……

`Here is a question about handling a trade when the area of interest is retested. I have been looking at using the E&S strategy, and often, it is pretty straightforward: wait for the price to enter the zone, then look for a decent entry.

Every once in a while, I have seen the price exit the zone just to turn around and retest it. Last week I captured this with an AUDJPY trade. I entered the trade and thought I had a decent stop behind the 4H 200 EMA. Attached is a screenshot of the AUDJPY trade just as price was coming back. It blew thru the EMA, my stop, and the next WR1. It paused at the last high and finally bounced at the Daily 200. This week, I entered a trade on the EURUSD following E&S as well. The entry was just below the 50% fib. Price exited the E&S zone and came back for a retest. Unfortunately, it had already reached 40 pips in profit, and the VTC software had moved the stop to break even just like I planned it! My original stop would have been safe, but I did not lose anything either, so should I have been looking to reenter on the retest, or is it too risky? These are two specific examples from E&S, one could have worked out, but one did not. Is there any general rule to keep in mind when price comes back to retest an area of interest ?`

All members following the Earth and Sky system……please have a look at the above questions and the charts and leave me a comment with your thinking……..I just want to see where you all at with my mentoring the Earth and Sky…..before I will give my 2 cent.

Keep it short………

 

 

 

 

The bull pairs are……

1) Euro/CAD on the 4 hour:

The direction indicator is LONG on the 4 hour and LONG on the DAILY CHART and we closed PLUS 193 pips higher than last week’s opening – so we DID meet ALL of the requirements to fib the 4-hour chart for this week’s Earth and Sky trading zone.

Currently I have a long zone between 1.4780 and 1.4701

Areas to keep an eye on for support : 1.4780 and 1.4741 and 1.4701

Target: WR1 at 146.27 and WR2 at 148.53

Counter shorts from the WR1 at 1.4967 and WR2 at 1.5055

Target: WPV at 1.4795

Notes:

If price makes a HIGHER HIGHS without the correction we wanted….follow price with the fib to get the adjusted LONG zone for the week.

If we break the 75% fib to the downside for some reason then re look for support at last weeks low and the daily 55 EMA at 1.4621 and if that breaks look at the WS2 pivot and daily 200 EMA at 1.4535 for support to look for longs……main trend stays long above this levels.

………………………………………..

2) GBP/JPY on the 4 hour:

The direction indicator is LONG on the 4 hour and LONG on the DAILY CHART and we closed PLUS 83 pips higher than last week’s opening – so we DID meet ALL of the requirements to fib the 4-hour chart for this week’s Earth and Sky trading zone.

Currently I have a long zone between 166.73 and 166.12

Areas to keep an eye on for support : 166.73 and 166.42 and 166.12

Target: WR1 at 168.07 and WR2 at 169.25

Counter shorts from the WR1 at 168.07 and WR2 at 169.25

Target: WPV at 166.79

Notes:

If price makes a HIGHER HIGHS without the correction we wanted….follow price with the fib to get the adjusted LONG zone for the week.

If we break the 75% fib to the downside for some reason then re look for support at last weeks low and the WS1 pivot at 165.62 and if that breaks at the WS2 pivot and 4 hour 200 EMA at 164.33 for support to look for longs…..main trend stays long above this level.

………………………………

 

 

 

The bear pairs are as follows……

1) NZD/Dollar on the 4 hour:

The direction indicator is SHORT on the 4 hour and SHORT on the DAILY CHART and we closed MIN 72 pips LOWER than last week’s opening – so we DID meet ALL of the requirements to fib the 4-hour chart for this week’s Earth and Sky trading zone.

Currently I have a short zone between 0.6174 and 0.6199

Areas to keep an eye on for resistance: 0.6174 and 0.6190 and 0.6199

Target: WS1 at 0.6102 and WS2 at 0.6064

Counter shorts from the WS1 at 0.6102 and WS2 at 0.6064

Target: WPV at 0.6164

Notes:

If price makes a LOWER LOWS without the correction we wanted….follow price with the fib to get the adjusted SHORT zone for the week.

If we break the 75% fib to the upside for some reason then re look for resistance at last weeks high and 4 hour 200 EMA at 0.6224 and if that breaks look at the WR2 pivot and daily 200 EMA at 0.6264 for resistance to look for shorts…..main trend stays short under these levels.

………………………………

2) NZD/JPY on the 4 hour:

The direction indicator is SHORT on the 4 hour and SHORT on the DAILY CHART and we closed MIN 72 pips LOWER than last week’s opening – so we DID meet ALL of the requirements to fib the 4-hour chart for this week’s Earth and Sky trading zone.

Currently I have a short zone between 82.81 and 83.24

Areas to keep an eye on for resistance: 82.81 and 83.03 and 83.24

Target: WS1 at 0.6102 and WS2 at 0.6064

Counter shorts from the WS1 at 81.62 and WS2 at 80.90

Target: WPV at 82.65

Notes:

If price makes a LOWER LOWS without the correction we wanted….follow price with the fib to get the adjusted SHORT zone for the week.

If we break the 75% fib to the upside for some reason then re look for resistance at last weeks high and daily 200 EMA at 83.65 for resistance to look for shorts…..main trend stays short under these levels.

………………………………

Support/resistance areas to keep an eye on……..

Euro/Dollar at the WR2 pivot at 1.1057 for shorts.

Euro/JPY at the WR2 pivot at 148.68 for shorts.

Euro/Aussie at the WR2 pivot at 1.6564 for shorts.

NZD/CAD at the daily 200 EMA at 0.8374 for shorts

Regards

Pierre