Friday, April 11, 2014

Overall picture of Price Action should be clear when looking for intraday Chart or long term chart




** Are there ways to know in advance what is the complete context in overall price action ?

**In this post I would like to put more light on what is "context" which tells you what market is trying to do whether it has liquidated before or trying to accumulate further for next push to test the high or Low .

** It is necessary for a forex or currency trader to look the overall picture for intraday trading as it will make thing easier to get a long term success. The Chart I have posted here tells you what you should be looking for.

**In the first attempt market trade location was lower low of correction which brought the spike and when it failed the market was in range for few hours and then immediate spike trap the new traders who think that "Candlestick Patterns" are best to trade patterns in any market.

** Market trap them and that is liquidation and see where market stops. Traders who have entered on pattern start recovering on next candle which was a large momentum bar with pattern and this suits best because market already was at new low and downtrend was confirmed.

** There are few examples I would like to post here today which tells you how important it is to know where the trade location situated and what are the reasons that you should enter a trade because market often gives you answers before making a next move otherwise there are no strong evidence that who is pushing the market in a range possible "Weak Holders".


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