Trading Plan:
Entry Point: Given the bearish pattern on the H4 chart (rising wedge and divergence), a high-probability trade would be to prepare for a potential short entry. Wait for the price to break below the rising wedge and below a significant support level on the H1 chart to confirm bearish momentum.
Stop Loss: Place a stop loss above the most recent swing high or the upper trend line of the rising wedge pattern on the H4 chart to protect against false breakouts.
Take Profit: Aim for a take-profit level that is at least twice the distance of your stop loss, targeting the next significant support level on the H4 chart.
Risk Management: Maintain a risk-reward ratio of at least 1:2 and do not risk more than 1-2% of your trading capital on a single trade.
