Very good picture you posted, most of time this happens.

To add further.

You take any indicator and system this will happen.
Say simple RSI 50. 1Hr
You see on chart, price touch RSI 50, and bounce strong.
You spot this as this is working
You see next oprtunity to catch such spot.
Price touch RSI 50 spot Next time, you go long
You expect good bounce like you saw last time.
You see some profit and becomes happy, and expect more profit since you saw very good bounce last time.
You hold trade tight, and shit...price broker RSI 50, Your profitable trade turn to negative.
Now Game of Hopes start.
you hold trade in negative..price continue to fall..you get frustrated..exit trade on fear of big losses. you exit trade with some loose.
Now price is just below RSI 30, and consolidating.
Now you are thinking to buy at RSI 30. but waiting and thinking what to do.
now some fear playing since your last loss dancing in front of you.
you thinks..you should buy at RSI 30. But can't click buy .

Price forms RSI Diversion..and then shoot within short time. you miss trade.
you miss trade due to fear to go long at RSI 30.

This happens most of time.
What market do is. it shows you someting working at Time A . and on based on that, when people enter then they make it fail and show you Now that A is not working...Now Thing B is working
This makes all system work sometimes and fail other times.
Market choose such 5 working Things.
and amongs this 5 things they choose one thing this time, and causes other 4 to fail.

So they keep changing patterns .


Best Regards
Ramdas