tag:blogger.com,1999:blog-86073489998816186292024-03-14T05:41:51.620+00:00Forex Chart Pattern Trading Analysis | FX Market Price Manipulation<b>Chart Analysis and Price Patterns | Forex Market Manipulation like EUR/USD Stop Running | Trading Breakout Strategies: Support and Resistance levels, Fibonacci, Consolidation, Bull and Bear Flag, Pivot Points, SMA, Candlesticks</b>FxTraderhttp://www.blogger.com/profile/03884636782027160810noreply@blogger.comBlogger72125tag:blogger.com,1999:blog-8607348999881618629.post-32208201977322805272013-02-13T18:05:00.008+00:002023-06-05T12:52:46.615+01:00Chart Pattern Analysis | Forex Manipulation<div dir="ltr" style="text-align: left;" trbidi="on">
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<b><span style="font-size: large;"><u><i>Index:</i></u></span></b></h2>
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<span style="font-size: large;"><b> Forex Price Manipulation</b></span></div>
<ul><b>
<li><a href="http://forex-chartanalysis.blogspot.com/p/price-manipulation-in-forex-market-is.html" target="_blank">Overview of the Forex Price Manipulation</a>:</li>
<li><a href="http://forex-chartanalysis.blogspot.com/p/is-forex-too-big-to-be-manipulated.html" target="_blank">Is Forex to big to rig?</a></li>
<li><a href="http://forex-chartanalysis.blogspot.com/p/forex-market-manipulation-analyzed.html" target="_blank">Price Rigging: Forex Market Manipulation analyzed!</a></li>
<li><a href="http://forex-chartanalysis.blogspot.com/p/trading-fx-price-manipulation.html" target="_blank">Trading Strategy: How to trade with the FX Price Manipulation</a></li>
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<b><span style="font-size: large;">Technical Chart Analysis and Trading Strategies</span></b><br />
<ul><b>
<li><a href="http://forex-chartanalysis.blogspot.com/p/chart-pattern-explanation.html#Support%20and%20Resistance%20levels%20Chart%20Pattern" target="_blank">Support and Resistance levels, Consolidation patterns</a></li>
<li><a href="http://forex-chartanalysis.blogspot.com/p/fibonacci-analysis.html" target="_blank">Fibonacci Analysis</a></li>
<li><a href="http://forex-chartanalysis.blogspot.com/p/breakout-trading.html#Breakout%20Trading" target="_blank">Breakout Trading Strategies</a></li>
<li><a href="http://forex-chartanalysis.blogspot.com/p/chart-patterns-explained.html" target="_blank">Important Chart Patterns - Price Rejection, Fibonacci Extension, Continuation Chart Patterns</a></li>
<li><a href="http://forex-chartanalysis.blogspot.com/p/chart-patterns-analysis.html" target="_blank">Do Popular Chart Patterns work? - Price Manipulation</a></li>
<li><a href="http://forex-chartanalysis.blogspot.com/p/trading-guide.html" target="_blank">High Probability Trading Setup Guide</a></li>
<li><a href="http://forex-chartanalysis.blogspot.com/p/candlestick-chart-patterns.html" target="_blank">Candlestick Chart Patterns</a></li><span style="font-family: arial;">
</span></b></ul><span style="font-family: arial;">
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The <b><u>Chart Analysis Legend </u></b>includes the mainly used <a href="http://forex-chartanalysis.blogspot.com/p/pure-chart-analysis.html" target="_blank">Chart Reading Patterns, Methods and Tools</a><br />
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<span style="font-size: small;"><span style="font-family: arial;"><u><b>Short term trading strategy</b></u></span></span></h3><span style="font-size: small;"><span style="font-family: arial;">
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<span style="font-size: small;"><span style="font-family: arial;"><u><b><br /></b></u></span></span></div><span style="font-size: small;"><span style="font-family: arial;">
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<span style="font-size: small;"><span style="font-family: arial;"><span><i>Trading strategies and opinions have evolved and partly changed over time and will do so in the future.</i></span></span></span></div>
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<div><span style="font-size: small;"><span style="font-family: arial;"><span><b style="font-weight: normal;">The <u>short term</u> trading strategy</b> is to read<b style="font-weight: normal;"> the intention of the Market Manipulators</b> and to focus on their manipulative <b style="font-weight: normal;">stop runs</b> particular at <span><b>Highs/ Lows and</b></span><b><span> </span><span>Round Numbers </span></b><span style="font-weight: normal;">in the<b style="font-weight: normal;"> </b>Forex Majors but also stock markets like S&P 500 (SPY), Nasdaq, </span><span style="font-weight: normal;">Dow Jones Industrial as well as stocks.<br /></span></span></span></span></div><div><span style="font-size: small;"><span style="font-family: arial;"><span><span style="font-weight: normal;"> </span></span></span></span></div><div><span style="font-size: small;"><span style="font-family: arial;"><span><span style="font-weight: normal;">Low liquidity & </span></span><span><span style="font-weight: normal;"><span><span style="font-weight: normal;">trading volumes plus</span></span> higher volatility in the markets nowadays allows for more trading opportunities and increases the chance that chart techniques/ reading the charts are succesful as important chart levels will get reached more often. So let's follow me on <a href="https://twitter.com/TradingtheEdge" rel="nofollow" target="_blank">twitter - TradingtheEdge</a></span></span></span></span></div><div><span style="font-size: small;"><span style="font-family: arial;"><span><span style="font-weight: normal;"> </span></span></span></span></div><div><span style="font-size: small;"><span style="font-family: arial;"><span><span style="font-weight: normal;">Furthermore, the option markets have a very big impact on the stock markets in the short term e.g. gamma squeeze/ hedging flows. Follow <a href="https://twitter.com/spotgamma" rel="nofollow" target="_blank">spotgamma</a> and </span></span><a href="https://www.zerohedge.com/markets/after-yesterdays-melt-nomura-warns-kindling-squeeze-remains-absolutely-biblical-negative" rel="nofollow" target="_blank"><span style="-webkit-text-stroke-width: 0px; color: #222222; display: inline; float: none; font-style: normal; font-variant-caps: normal; font-variant-ligatures: normal; font-weight: 400; letter-spacing: normal; text-align: start; text-decoration-color: initial; text-decoration-style: initial; text-decoration-thickness: initial; text-indent: 0px; text-transform: none; white-space: normal; word-spacing: 0px;">Nomura's Charlie McElligott</span></a>.<br /></span></span>
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<span style="font-size: small;"><span style="font-family: arial;"><span>For the medium to <u>long term</u>, it is very important to analysis the fundamentals</span></span></span></div><div style="margin: 0px;"><span style="font-size: small;"><span style="font-family: arial;"><span> </span></span></span></div><div style="margin: 0px;"><span style="font-size: small;"><span style="font-family: arial;"><span>For</span><span style="font-weight: 400;"> macroeconomics and stock & bond markets the fundamental analysis of Morgan Stanley li</span><span style="font-weight: 400;">ke</span><b style="font-weight: 400;"> Mike Wilson and their weekly<a href="https://www.morganstanley.com/pub/content/dam/mscampaign/wealth-management/wmir-assets/gic-weekly.pdf" target="_blank"> GIC reports</a> on Monday is good. </b><span>Furthermore, </span><span style="font-weight: 400;">the analysis and <a href="https://twitter.com/zerohedge" rel="nofollow" target="_blank">realtime tweets of zerohedge</a> are also very helpful.</span></span></span></div>
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<h3>
<span style="font-size: large;"><b>Manipulation of Popular Chart Levels</b></span></h3>
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<span style="color: red;"><i>The main message of this website is just below:</i></span></div>
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<span style="font-size: large;"><u><i>Popular Chart Levels are often tacitcally misused for faked Trading Signals and Stop Runs by Manipulators in the short run before the fundamentals regain and the major trends resume.</i></u></span><br />
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</div><div dir="ltr" style="text-align: left;" trbidi="on"><i>Notice: </i><span style="font-family: arial;"><span><span style="font-size: small; font-weight: normal;"><i>Instead
of market manipulation, it might also be argued that frequent price
turnarounds/ fake breakouts at the striking chart levels are often due
to large orders of big market participants (like banks & market
makers), which capitalize on the one-sided order flow at key breakout
levels to build up or close large positions which otherwise would lead
to undesired price movements when done without the one sided order flow. </i></span></span></span></div><div dir="ltr" style="text-align: left;" trbidi="on"><span style="font-family: arial;"><span><span style="font-size: small; font-weight: normal;"><i> </i><br /></span></span></span><span style="font-family: arial;"></span><span style="font-family: arial;"></span>
<h4>
<b>Some Popular Trading Levels:</b></h4>
<ul>
<li><b> Important Highs/ Lows</b></li>
<li><b> Round Numbers</b></li>
</ul>
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Market price often comes back to popular chart levels like Round Numbers and frequently penetrates them to trigger mainstream trading signals and to run for stops. Particularly, market Highs and Lows are important Manipulation points, where false price breakouts (false first breakout) occur to clear stop loss orders and to trigger breakout limit orders before market reverses back. Be careful with these mainstream trading strategies. Moreover watch out for pure stop runs at these chart levels, which can lead to a strong market turn around. In general, the first price breakout at important chart levels is often a false one.<br />
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Often a minor false price breakout or only a price touch of Round Numbers comes with the first test of these chart levels to trigger close-by breakout orders and stop orders. The retracement to catch some stops of the breakout traders often gives the faked impression that the popular chart level holds as Support/ Resistance, thus encouraging mainstream traders to position accordingly. However, market often goes for a second test of the popular chart levels to clear the stop orders above/ below important chart levels before either retracing back or breaking through the price level targeting the next important mainstream level (stop order and limit order zone).<br />
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<b>More in detail</b>, if market price only touches (not really penetrating) the important chart level like Round Numbers and retraces back then a second test of this market level is likely to catch the stop loss and breakout orders at this support / resistance levels of the traders who already had positioned themselves plus the new traders who interpreted the prior hold of the support/ resistance area as a reason to enter the market.<br />
However, if market price already had penetrated the important support / resistance level to catch most of the stop loss orders and breakout orders before retracing back (failed first breakout) then the chances of a second test of the important chart level would diminish as the <b>intention of the market manipulators to catch the stop loss orders and breakout orders already got accomplished.</b><br />
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Moreover, a clean break through a striking trading level without an immediate price retest is seldom and if so then the chance of a retest in near future is likely to catch stop orders of the breakout traders and to minimize the chance of an <i>easy trade</i> with a small stop lose at important price levels. Furthermore, the reiterating stop triggering process at striking chart levels would be in favour of a clean breakout to happen more often in the absence of any market price manipulation.<br />
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<b>In general, market price goes there where the <u>stop loss and breakout orders</u> are anticipated.</b><br />
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<b>Read more: </b><a href="http://forex-chartanalysis.blogspot.com/p/price-manipulation-in-forex-market-is.html" target="_blank">Overview of the Forex Price Manipulation</a><br />
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<span style="color: red;"><i>Below and in the left sidebar: EUR/USD analysis from the past</i></span><br />
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<h3>
Forex Market Manipulation Analysis</h3>
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<h4>
Daily Chart Analysis of the EUR/USD - Stop Hunting</h4>
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The two orange arrows on the top of the 5 min EURUSD chart below (last chart) show examples for the Stop Hunting- and Market Price Rigging process and it further illustrates the importance of breakout trading strategies. The recurring manipulative Stop hunting strategy in Forex is used by the FX Manipulators to fool breakout traders with the <a href="http://forex-chartanalysis.blogspot.com/p/breakout-trading.html" target="_blank">typical failed first breakout</a>. The Market Price Rigging Manipulation via Stop Runs allows the Forex Manipulators to catch the stops of the breakout traders and thus this price rigging strategy most often prevents the typical breakout trader to successfully participate in the true breakout.<br />
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Most often at striking price levels, like - highs/ lows/ round numbers/ mainstream Support and Resistance levels -, the market price manipulators enforce the failed first breakout - stop hunting. The Stops of the breakout traders get cleared, who entered the market after their limit orders got triggered through the penetration of the striking level.<br />
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Furthermore, many stop loss orders of other traders got also cleared through the slight penetration of the striking chart level. After the price rigging strategy got accomplished and most stops of the breakout traders are already taken out of the market then either the true breakout occurs to catch and clear farther positioned stop loss orders of other traders at the striking level or market reverses to target the opposite striking chart level where many stop loss orders of the fooled breakout traders are located and new breakout traders will try to catch the trend again. <br />
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<b>Read More</b> in the <a href="http://forex-chartanalysis.blogspot.com/p/price-manipulation-in-forex-market-is.html" target="_blank">Price Rigging and Manipulation Series</a><br />
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The highlighted Doji candles on the 5 min and on the 1 hour chart could have been used as trading triggers. There are also many <a href="http://forex-chartanalysis.blogspot.com/p/chart-patterns-explained.html#Continuation%20chart%20patterns" target="_blank">continuation chart patterns</a> on the 5 min chart (green circles) and an inverted Head and Shoulders chart pattern on the 4 hour/ 1 hour chart. <br />
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<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiemk8C3aFM8OZksZMi6N4ek2Uu4D39fE0SqKVrrCPqQJkzVEBl5mn4ysWOkjmcaZXFrXGGVv4CEcOXxgq1A38Cra8GfdPpn1l9SdfF4-Zlur3oowShSNUfIdI6vPy2s26szzwk3bkejIkq/s1600/Consolidation+pattern,+Pivot+Points,+SMA,SR.JPG" style="margin-left: auto; margin-right: auto;"><img alt="Consolidation pattern, Pivot Points, SMA,SR" border="0" height="560" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiemk8C3aFM8OZksZMi6N4ek2Uu4D39fE0SqKVrrCPqQJkzVEBl5mn4ysWOkjmcaZXFrXGGVv4CEcOXxgq1A38Cra8GfdPpn1l9SdfF4-Zlur3oowShSNUfIdI6vPy2s26szzwk3bkejIkq/s640/Consolidation+pattern,+Pivot+Points,+SMA,SR.JPG" title="Consolidation pattern, Pivot Points, SMA,SR" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>4 hour</b> EUR/USD Chart Analysis/ Patterns</td></tr>
</tbody></table>
<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgbPxZLa_nVDr092IAqofP-Ek0Xej-EL7OFuf7fnEoD7FbzhyExsPtxxI5tHcqVhYGts2EoVcOcidzIpIcvYBii_4RJxuqi8MsciIsl8Zysd7Sal3JZTqjKQJtnxljCnVIFFplP3ZdZIgAd/s1600/Inverse+-Inverted-+Head+and+Soulders+pattern,+neckline,Doji.JPG" style="margin-left: auto; margin-right: auto;"><img alt="Inverse -Inverted- Head and Shoulders pattern, neckline,Doji" border="0" height="414" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgbPxZLa_nVDr092IAqofP-Ek0Xej-EL7OFuf7fnEoD7FbzhyExsPtxxI5tHcqVhYGts2EoVcOcidzIpIcvYBii_4RJxuqi8MsciIsl8Zysd7Sal3JZTqjKQJtnxljCnVIFFplP3ZdZIgAd/s640/Inverse+-Inverted-+Head+and+Soulders+pattern,+neckline,Doji.JPG" title="Inverse -Inverted- Head and Shoulders pattern, neckline,Doji" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>1 hour </b>Inverse -Inverted- Head and Shoulders pattern, neckline, Doji</td></tr>
</tbody></table>
<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEib0EO4gUeiH1NBgpycO_QsCCsve9as0xfgP0QXaOueZgAkZgRf2hrqi__1nocOT2Zz_akDHDUrVgvN8hmUVFpNONG2fexih-Xd6du7eCDF0kJgQyPg6q3QgSLwcKndbwXCD8ESpdbEDqnB/s1600/Doji+candle,+Continuation+patterns,Pivots.JPG" style="margin-left: auto; margin-right: auto; text-align: center;"><img alt="Doji candle, Continuation patterns,Pivots" border="0" height="530" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEib0EO4gUeiH1NBgpycO_QsCCsve9as0xfgP0QXaOueZgAkZgRf2hrqi__1nocOT2Zz_akDHDUrVgvN8hmUVFpNONG2fexih-Xd6du7eCDF0kJgQyPg6q3QgSLwcKndbwXCD8ESpdbEDqnB/s640/Doji+candle,+Continuation+patterns,Pivots.JPG" title="Doji candle, Continuation patterns,Pivots" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>5 min </b>Doji candle, Continuation patterns,Pivots</td></tr>
</tbody></table>
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FxTraderhttp://www.blogger.com/profile/03884636782027160810noreply@blogger.com1tag:blogger.com,1999:blog-8607348999881618629.post-35157614514075942742013-02-09T15:16:00.002+00:002014-09-06T14:17:54.652+01:00Weekly Support and Resistance<div dir="ltr" style="text-align: left;" trbidi="on"><h2>EUR USD Weekly Chart Analysis</h2><br />
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<h3>Support and Resistance levels</h3><br />
<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="float: right; margin-left: 1em; text-align: right;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj7eFld6EUkk07oGb0lUqLkVSI0wArUWp__0bZDSG0H-_xMN0vbdWKLBYS0WoISfvaMzSbAcrbe6I9qF3p8es8GxEXr2GWuQY8h0n3agZAXL7MzfYoXhvcNrGqJOnz2NOMmybgD-aMS4eBA/s1600/eurusd+daily+support+resistance+forex.JPG" imageanchor="1" style="clear: left; margin-bottom: 1em; margin-left: auto; margin-right: auto; text-align: center;"><img alt="eurusd daily support resistance forex" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj7eFld6EUkk07oGb0lUqLkVSI0wArUWp__0bZDSG0H-_xMN0vbdWKLBYS0WoISfvaMzSbAcrbe6I9qF3p8es8GxEXr2GWuQY8h0n3agZAXL7MzfYoXhvcNrGqJOnz2NOMmybgD-aMS4eBA/s400/eurusd+daily+support+resistance+forex.JPG" height="400" title="eurusd daily support resistance forex" width="375" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>Daily</b> EURUSD Support Resistance in Forex</td></tr>
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<h4>The EUR/USD High of 2012</h4><div><br />
</div>acted as resistance before this chart price level got broken (see red circle = breakout timing) and the yearly high acted as support in the beginning of February.<br />
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However, this important chart level got broken to the downside again with the second test on the 7th of February (First test was the green candle on the 5th of February).<br />
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The Chart illustrates the changing role of major support and resistance depending on price action.<br />
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The green ellipses on these charts show consolidation patterns, which most often act as continuation pattern like bear/ bull flags or pennants.<br />
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In addition, the orange arrows on the chart below illustrate the importance of these consolidation price zones as potential Support and Resistance levels. Furthermore, the charts also show the importance of Pivot Points, which often act as Support/ Resistance too. Another important tool of the chart analysis is the 61 % and 100 % Fibonacci Extension, which shows potential hidden Support and Resistance levels (see last chart).<br />
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<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhPdNv6v2AA9OZEbFBFhBfKr55BiIAB1Pkfw9FkHvO480M6UIL3Us_nWLWL-xxTo5gPP8HnZA9iwRmVWCcQFpWOrFNk1NVtcGS8qS7a-KrwnIAtzpNQZ8lOnCIolDUHFteIinkkVDkqUw0M/s1600/consolidation+patterns,+SR,+Pivot+Point.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="Consolidation patterns, S/R, Pivot Point" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhPdNv6v2AA9OZEbFBFhBfKr55BiIAB1Pkfw9FkHvO480M6UIL3Us_nWLWL-xxTo5gPP8HnZA9iwRmVWCcQFpWOrFNk1NVtcGS8qS7a-KrwnIAtzpNQZ8lOnCIolDUHFteIinkkVDkqUw0M/s640/consolidation+patterns,+SR,+Pivot+Point.JPG" height="456" title="Consolidation patterns, S/R, Pivot Point" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>4 hour </b>Consolidation patterns, S/R, Pivot Point</td></tr>
</tbody></table><br />
<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEh0rTK6gIjp6Mib2XvB8L8UwEJeQ6IfLiajYCT7a60nJG8nQ2j89Tez-Y1lFtCITVVbwOMG93YlHippeoN_rQovUw6mY7BeMnNi1lqJ7T6RCZLA1T55Cynz4HxvMWNN_QPzNjlx3CNjLWrS/s1600/weekly+chart+update+eurusd+technical+analysis.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="Weekly chart update eurusd technical analysis" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEh0rTK6gIjp6Mib2XvB8L8UwEJeQ6IfLiajYCT7a60nJG8nQ2j89Tez-Y1lFtCITVVbwOMG93YlHippeoN_rQovUw6mY7BeMnNi1lqJ7T6RCZLA1T55Cynz4HxvMWNN_QPzNjlx3CNjLWrS/s640/weekly+chart+update+eurusd+technical+analysis.JPG" height="494" title="Weekly chart update eurusd technical analysis" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>1 hour </b>Weekly Chart Update EUR/USD Technical Analysis</td></tr>
</tbody></table><br />
<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEid6yT2u9eSM8W_zh_OXN176QLem7kKqkEWEFxM9gGANjAEFZJDsTreDmw-ldczKp8hDtRbq-SVgOie0bbHI6TWW8VnrN0B4J469a4FVqRIkf_OhnxhbaWSnmmCwQRKxBoNpJhpaM9u7Qhs/s1600/Head+and+Shoulders+pattern,neckline,eurusd.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="Head and Shoulders pattern,neckline,eurusd" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEid6yT2u9eSM8W_zh_OXN176QLem7kKqkEWEFxM9gGANjAEFZJDsTreDmw-ldczKp8hDtRbq-SVgOie0bbHI6TWW8VnrN0B4J469a4FVqRIkf_OhnxhbaWSnmmCwQRKxBoNpJhpaM9u7Qhs/s640/Head+and+Shoulders+pattern,neckline,eurusd.JPG" height="408" title="Head and Shoulders pattern,neckline,eurusd" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>5 min </b>Head and Shoulders pattern, Neckline, EURUSD</td></tr>
</tbody></table><br />
</div>FxTraderhttp://www.blogger.com/profile/03884636782027160810noreply@blogger.com1tag:blogger.com,1999:blog-8607348999881618629.post-15576675534973894932013-02-05T20:24:00.000+00:002014-09-06T21:47:26.245+01:00Pivot Point Trading<div dir="ltr" style="text-align: left;" trbidi="on">
<div dir="ltr" style="text-align: left;" trbidi="on">
<h3 style="text-align: left;">
Daily and Weekly Pivots</h3>
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<h3>
Pivot Analysis</h3>
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The hourly and the 5 min EUR/USD Chart below illustrates the importance of Pivot Points. The Euro traded between the weekly Pivot and the weekly Support 1. The weekly S1 provided support and the weekly Pivot acted as resistance.<br />
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Furthermore, the hourly Euro Chart shows a Continuation pattern (green ellipse - kind of Bear Flag). After market touched the 10 SMA price went down, triggered the Continuation pattern and market price moved to the lower boundary of the trading range - weekly S1, whereby the Euro temporarily consolidated at the hourly 200 SMA (black dotted line).<br />
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The orange arrow shows that the consolidation price zone of the prior continuation chart pattern acted as resistance after the Euro temporarily breached the daily Pivot point and tested the consolidation price zone for the fist time. The second test of the daily Pivot and the Consolidation price zone could not held the Euro (second test during a short time) and the market price moved further north to the upper boundary- the weekly Pivot point.<br />
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The 5 min chart below shows how the EUR/USD repeatedly failed to break the upper boundary (weekly Pivot). The lower boundary - weekly S1 - held after the unconfirmed break of the weekly S1, which created a kind of Hammer or Doji candlestick pattern on the chart. Another Continuation pattern and the 61.80 % Fibonacci extension level are illustrated on the 5 min EUR/USD chart below.<br />
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<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhtYBEMsSPMsLJkXRSHpuZQaKWza2P-1LanTFghAllWQohjxkQL-zAr74c8KyBqHZE1lgZBwAzWflCb3cdxGIVpSg5B1skwTQJU75QQZSKRX9OQkwurVGhJYWHd57NWQVW3VBHm9sQdRomC/s1600/Technical+Chart+Analysis+EURUSD.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="Technical Chart Analysis EURUSD" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhtYBEMsSPMsLJkXRSHpuZQaKWza2P-1LanTFghAllWQohjxkQL-zAr74c8KyBqHZE1lgZBwAzWflCb3cdxGIVpSg5B1skwTQJU75QQZSKRX9OQkwurVGhJYWHd57NWQVW3VBHm9sQdRomC/s400/Technical+Chart+Analysis+EURUSD.JPG" height="375" title="Technical Chart Analysis EURUSD" width="400" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>1 hour </b>Chart Analysis EURUSD - Pivot Points</td></tr>
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<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjfe3Pqxi9iWvKS7yIwiFYiyNlQ-l_Gsvv2littaWNjBNRPrP-Eg2CRA_fBTP_9mUajC965iuAdw2JlcAsl6i5hDxu-gixAx6gPz00wVUbNcRPoGhHyJBBX5tCEo48GPg3gm0XBRFYda9ar/s1600/Price+Rejection+candle+Hammer+Doji.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="Price Rejection Candle Hammer,Doji" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjfe3Pqxi9iWvKS7yIwiFYiyNlQ-l_Gsvv2littaWNjBNRPrP-Eg2CRA_fBTP_9mUajC965iuAdw2JlcAsl6i5hDxu-gixAx6gPz00wVUbNcRPoGhHyJBBX5tCEo48GPg3gm0XBRFYda9ar/s640/Price+Rejection+candle+Hammer+Doji.JPG" height="446" title="Price Rejection Candle Hammer,Doji" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>5 min </b>Candle Hammer, Doji and Pivot Points</td></tr>
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<i><b>Another Intraday example of the importance of the Pivot points on the 5 min EUR/USD Chart below</b></i><br />
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<h3 style="text-align: left;">
<b>Trading Pivot Points in EURUSD</b></h3>
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<h4>
<b>Pivot Point Support/ Resistance</b></h4>
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The Pivot Points (Daily Pivot, Daily S1 and Daily R1) were important intraday Support and Resistance levels.<br />
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At 10:45 a.m. GMT market tested the daily Support 1. With the beginning of the new hourly candle at 11 a.m. the Euro tested the daily S1 again and market closed at this support level before breaking it for a short shakeout (Breakout Trading/ Timing with new candle-red circle). The same pattern approached at 4:25 p.m. at the daily R1.<br />
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The Euro formed a Continuation Chart Pattern at the daily Pivot Point before 2 p.m. (green ellipse) and market broke it with the new hourly candle. The breakout candle at 2:10 p.m. got confirmed due to the higher close of the succeeding candle above the high of the breakout candle.<br />
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The EUR/USD touched and successfully broke the daily R1 intraday Resistance. The confirmation of the breakout through the daily R1 led to a change from its role of resistance to support. The changing role from resistance to support of the daily R1 can be seen after 3 p.m..<br />
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The continuation pattern at 4 p.m.(green circle) led to an unconfirmed breakout through the daily R1 after the 5 min candle at 4:25 p.m. closed at the daily R1 (red circle).<br />
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<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="float: left; margin-right: 1em; text-align: left;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjJRDP5DHcFvwzUOrE8sCIO5_LtYlo1uRqXQw8bAjIWt7np_hZVuyBJitFQgKSMffePhMpjxawrVYX7Uul7uh15HQTYJqBbL_awGoW9rg_u1m2E-MQMWWxwojUw5ZuS57cA2xB_wMXqvE6X/s1600/5min1.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="Euro Intraday Trading Levels" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjJRDP5DHcFvwzUOrE8sCIO5_LtYlo1uRqXQw8bAjIWt7np_hZVuyBJitFQgKSMffePhMpjxawrVYX7Uul7uh15HQTYJqBbL_awGoW9rg_u1m2E-MQMWWxwojUw5ZuS57cA2xB_wMXqvE6X/s640/5min1.JPG" height="528" title="Euro Intraday Trading Levels" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;">5 min Euro Pivot Trading Levels</td></tr>
</tbody></table>
</div>
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FxTraderhttp://www.blogger.com/profile/03884636782027160810noreply@blogger.com0tag:blogger.com,1999:blog-8607348999881618629.post-73337158353591547362013-02-03T15:27:00.000+00:002014-09-06T21:51:19.568+01:00Changing Role of Support to Resistance<div dir="ltr" style="text-align: left;" trbidi="on"><h2>Support and Resistance Trading</h2><br />
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The Euro USD very often respected the different daily and weekly Pivot Points as support and resistance on the 5 min Intraday Chart. The daily Pivot Point held the sharp intraday downtrend after the Nonfarm payroll release today and the Euro USD reversed sharply up for new highs in the trading session. 61.80 % and 100 % Fibonacci extension levels also helped to determine intraday support and resistance zones.<br />
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The Euro moved only shortly into the 1.37 vicinity before retracing back. The daily R1, daily R2 and the weekly R2 beautifully show the changing role from resistance to support. The daily R1 was resistance at 7 a.m. GMT and after resistance got broken the resistance became support between 10 a.m. and 2 p.m.. Similarly, the daily R2 and the weekly R2 acted as resistance before the role changed depending on the vicinity of price action. The chart formation at around 10 a.m. GMT might be seen as a small Head and Shoulder pattern at the daily R2 resistance.<br />
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<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEge3XBlKU9EhxykQjn3qm7GDOUq7lLNFnqpRDiXbLQjHWnmKx79szK5VKAQxisPVVuE66KKjbWAeYmPuMGU_SKPe78-YhBq5OX7E8Y0BaVfHK4UpdwDpBRAFom8UQREq_HsObVnsTyGFlkp/s1600/technical+chart+analysis.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="changing role from resistance to support" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEge3XBlKU9EhxykQjn3qm7GDOUq7lLNFnqpRDiXbLQjHWnmKx79szK5VKAQxisPVVuE66KKjbWAeYmPuMGU_SKPe78-YhBq5OX7E8Y0BaVfHK4UpdwDpBRAFom8UQREq_HsObVnsTyGFlkp/s640/technical+chart+analysis.JPG" height="438" title="changing role from resistance to support" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>5 min </b>Changing role resistance to support</td></tr>
</tbody></table><br />
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The below EUR/USD Chart shows how the monthly R2 Pivot point changed its role from resistance (at 11 a.m.) to support after market broke this resistance level and confirmed the breakout at about 3 p.m..<br />
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<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEh9OOuoWpAGifcllLUYhW508b-9Bi0dvzjOwf9vtzfqmN3r8j7cozRKXm9ybugFuNOCRWrCy32blY61cwtfvZfWjLI1sjyIxn_EaVGBe2XzQOXLEowSQyRNVlmYGTPUd8ykX36xiEBHitqk/s1600/Pivot+Point+Support+Resistance.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="Euro USD Pivot Points, S/R" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEh9OOuoWpAGifcllLUYhW508b-9Bi0dvzjOwf9vtzfqmN3r8j7cozRKXm9ybugFuNOCRWrCy32blY61cwtfvZfWjLI1sjyIxn_EaVGBe2XzQOXLEowSQyRNVlmYGTPUd8ykX36xiEBHitqk/s640/Pivot+Point+Support+Resistance.JPG" height="438" title="Euro USD Pivot Points, S/R" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="font-size: 13px;"><b>5 min</b> Resistance becomes support</td></tr>
</tbody></table></div>FxTraderhttp://www.blogger.com/profile/03884636782027160810noreply@blogger.com2tag:blogger.com,1999:blog-8607348999881618629.post-71277754137200004932013-01-31T15:39:00.003+00:002014-09-06T21:52:50.932+01:00Market Range Trade Setups<div dir="ltr" style="text-align: left;" trbidi="on">
<h2>
Trading a Sideways Market</h2>
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<h3>
Trading in a Range</h3>
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Euro US Dollar market is in a sideways trading range.<br />
Market is waiting for the Nonfarm Payroll Release on Friday, 01.02.2013.<br />
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The Euro US Dollar stayed in a sideways range and sideways market on the hourly time frame till now.<br />
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The daily Pivot Point and the weekly R1 Pivot held the market today. Fibonacci analysis and Pivot Points provided some possible trading setups in the sideways market to trade the market range in the EURUSD (see chart below).<br />
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<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhHCig1he0yx5cPyarvCSCDnlV9fnoBPFGsgZan0ob4vuEYJhrq198tb9q6IMB1kO1TjyD8OXfhLDXnAVPoMCmodrvJ4tCOwIHzUcF-YN8ZkqXnq5zJVNX4-KAVnGv3KEpdZhgxW9LO6wNl/s1600/Fibonacci+Studies+and+Pivot+Points.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="Fibonacci studies and Pivot Points" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhHCig1he0yx5cPyarvCSCDnlV9fnoBPFGsgZan0ob4vuEYJhrq198tb9q6IMB1kO1TjyD8OXfhLDXnAVPoMCmodrvJ4tCOwIHzUcF-YN8ZkqXnq5zJVNX4-KAVnGv3KEpdZhgxW9LO6wNl/s640/Fibonacci+Studies+and+Pivot+Points.JPG" height="514" title="Fibonacci studies and Pivot Points" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>5 min </b>Fibonacci Setups and Pivot Point anaylsis</td></tr>
</tbody></table>
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<h4>
Another Example for a sideways trading range bound market</h4>
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The Euro Dollar traded in the hourly consolidation range around the low of November 8th (see EURUSD Chart below).<br />
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The European session started with a Stop Run at 6 a.m. GMT. This false breakout on the 5 min Euro chart led to a price reversal of the EUR/USD. Market moved down to the 1.27 level in an impulsive move. However, market price action was capped in the range of this impulsive move during today's trading session.<br />
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At 1.10 p.m., the Euro Dollar reversed at the 1.2735 confluence resistance level because of the Fibonacci cluster due to the two 100 % fib extensions from the previous swings up, the daily pivot point and also the penetration of the recent high at 1.2730 on the 5 min chart (Stop Runs above recent high and the daily Pivot). The confluence resistance would have provided a good Trading Setup for a short entry in the market.<br />
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We had many continuation patterns (green circles-Pennants, Flags, Ledges), which could have guided today's trading setup decisions. Furthermore, the red circles show where the Breakout Timing strategy could have been applied and the orange arrows show where the Support/ Resistance through the consolidation price zones led to a market reaction. The Fibonacci trading levels also helped to find trading setups in regards of market turning points.<br />
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<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgspq31O6kqJidxlLIMg17PqrlMHPrasCF3YoGEHwrOCpPeHP08kyugc-_ezCEcRp9sXnnvzTweiqXwA82Brq6cg-Z_IZX7EzEQ9lg3xYxZCOXaLEvq5iK3VVWm5eYLNfvphkWssEtx7EwQ/s1600/Trading+Signals,Support,Resistance.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="Trading Signals,Support,Resistance" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgspq31O6kqJidxlLIMg17PqrlMHPrasCF3YoGEHwrOCpPeHP08kyugc-_ezCEcRp9sXnnvzTweiqXwA82Brq6cg-Z_IZX7EzEQ9lg3xYxZCOXaLEvq5iK3VVWm5eYLNfvphkWssEtx7EwQ/s640/Trading+Signals,Support,Resistance.JPG" height="494" title="Trading Signals,Support,Resistance" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>5 min </b>Trading Setups <span style="font-size: xx-small; text-align: start;">Euro Dollar</span></td></tr>
</tbody></table>
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FxTraderhttp://www.blogger.com/profile/03884636782027160810noreply@blogger.com0tag:blogger.com,1999:blog-8607348999881618629.post-7803170588606509322013-01-30T19:11:00.002+00:002014-09-06T21:28:54.820+01:00Trading the Market High of 2012 <div dir="ltr" style="text-align: left;" trbidi="on">
<h2>
EUR USD Market High</h2>
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After the Euro USD broke out of the larger consolidation pattern on the daily chart last week market approached the high of 2012 yesterday at 1.3486. Market closed at the high of 2012 yesterday and today the Euro broke through it (Breakout Trading/ Timing- see red circle). A similar pattern occurred at the monthly R1 (red circle), where the daily candle also closed at the monthly R1 before market broke the monthly R1 with the next daily candle.<br />
Currently, the Euro USD is trading at the monthly R2.<br />
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<table cellpadding="0" cellspacing="0" class="tr-caption-container" style="float: left; margin-right: 1em; text-align: left;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjZamnUcAvtiWPhFRAAZJ1kxSZMadYmbmo5JkiYyRYBBdazvJIS8EcWuiYvZxvCOoQAA5Cqu5T684pxBQvLKVW8n7Aq3OI_ScTf1mfY2CXjzyK8CnKfZTi207fKMQgpo8axVV8ncOXjaMGy/s1600/euro+chart+high+2012.JPG" imageanchor="1" style="clear: left; margin-bottom: 1em; margin-left: auto; margin-right: auto;"><img alt="Daily Support/ Resistance" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjZamnUcAvtiWPhFRAAZJ1kxSZMadYmbmo5JkiYyRYBBdazvJIS8EcWuiYvZxvCOoQAA5Cqu5T684pxBQvLKVW8n7Aq3OI_ScTf1mfY2CXjzyK8CnKfZTi207fKMQgpo8axVV8ncOXjaMGy/s400/euro+chart+high+2012.JPG" height="400" title="Daily Support/ Resistance" width="330" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>Daily</b> - Support/ Resistance</td></tr>
</tbody></table>
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<div class="separator" style="clear: both; text-align: left;">
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<div class="separator" style="clear: both; text-align: left;">
Today's rise started with a kind of bull flag between 8 a.m. and 9 a.m.. The Euro USD rose to the monthly R2 at 11 a.m. where market temporarily found resistance. Market broke the monthly R2 with the beginning of the new hourly candle at 3 p.m.. <span style="background-color: white; font-family: Arial, 'Helvetica Neue', Helvetica, sans-serif; font-size: 13px;">The 5 min candle at 3 p.m. closed at the recent daily high and the next 5 min candle broke this resistance (red circle-Breakout Timing)</span>. The monthly R2 changed its role from resistance to support and held the market so far. </div>
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<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEh9OOuoWpAGifcllLUYhW508b-9Bi0dvzjOwf9vtzfqmN3r8j7cozRKXm9ybugFuNOCRWrCy32blY61cwtfvZfWjLI1sjyIxn_EaVGBe2XzQOXLEowSQyRNVlmYGTPUd8ykX36xiEBHitqk/s1600/Pivot+Point+Support+Resistance.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="Euro USD Pivot Points, S/R" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEh9OOuoWpAGifcllLUYhW508b-9Bi0dvzjOwf9vtzfqmN3r8j7cozRKXm9ybugFuNOCRWrCy32blY61cwtfvZfWjLI1sjyIxn_EaVGBe2XzQOXLEowSQyRNVlmYGTPUd8ykX36xiEBHitqk/s640/Pivot+Point+Support+Resistance.JPG" height="438" title="Euro USD Pivot Points, S/R" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>5 min </b>Euro USD Pivot Points, S/R</td></tr>
</tbody></table>
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FxTraderhttp://www.blogger.com/profile/03884636782027160810noreply@blogger.com0tag:blogger.com,1999:blog-8607348999881618629.post-80249841610623599002012-11-19T19:13:00.002+00:002014-09-06T21:35:22.970+01:00Rejection Candle Chart Patterns - Hammer<div dir="ltr" style="text-align: left;" trbidi="on">
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<h2>
<b>Candlestick Chart Analysis</b></h2>
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<h3>
<b>Hammer Rejection Candle</b></h3>
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The Euro moved upwards against the US Dollar after the rejection candle/ hammer candlestick pattern on the 13th of November. There are important Support/ Resistance levels on the daily EURO US Dollar chart. Market currently trades at the daily confluence resistance level consisting of the 20 SMA and further the monthly S1 and the low of October 1st, which both held the market on the 15th of November at around 1.28 (First test). </div>
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During the start of the US session today, market penetrated the 1.28 resistance level (second test) and moved up to the weekly R1. On the 5 min chart we see that market closed at the 1.28 resistance level with a bullish candle at 3:40 p.m. GMT just before the Euro breached this level (Breakout Timing). The following breakout candle at 3:45 p.m. got high bullish momentum because of the stops placed above the 1.28 level. However, there was no follow through or breakout confirmation on the 5 min chart but market retested the 1.28 level and held<b> </b>1.28 so far. As long as the Euro holds this level we might see a continuation pattern triggered for a true or false breakout with the start of the new daily candle (Bullish daily candle close at daily resistance-Breakout trading).<b> </b>The next resistance level might be the low of October 11th at 1.2826.<br />
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The 4 hour chart shows the two rejection candles on the 13th of November which contributed to the daily rejection candle.<br />
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<b>[</b>The hourly chart shows the news shakeout/ stop running on the 14th of November. Market cleared the stops above resistance at 1.2755 (low of Sept. 10th) and then EUR/USD reversed and the logical next target was the recent low to clear the stops of the breakout trader at 1.2724. Stop running is an important driving force in Trading.<b>]</b><br />
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On the hourly and 5 min chart we see that the EUR/USD found support at the low of Sept. 10th and the Euro continued its upward move at 1 p.m. due to the increasing hourly 20 SMA and 200 SMA on the 5 min chart.<br />
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On most of the charts we see:<br />
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How prices respected support and resistance (blue ellipses), purely stop running behaviour (red arrows), breakout trading setups (red ellipses), continuation chart patterns (most of green ellipses) and support and resistance due to consolidation price zones (orange arrows).<br />
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<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiJXdGWFKO74r2nLYm0bhMrStRdj_LMWn-OJ_-f93NudYZx-FgwDUxYr258c2VDsQrDicEHBJ2LHFFTN1ot07YXXJF1JhkOs0pczgkBQuRGgyYR9z1t5Va7rL3fmQR5ZfSvtpuMigakZXUb/s1600/Daily+Support+and+Resistance+EURUSD1.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="Daily Support and Resistance EURUSD" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiJXdGWFKO74r2nLYm0bhMrStRdj_LMWn-OJ_-f93NudYZx-FgwDUxYr258c2VDsQrDicEHBJ2LHFFTN1ot07YXXJF1JhkOs0pczgkBQuRGgyYR9z1t5Va7rL3fmQR5ZfSvtpuMigakZXUb/s640/Daily+Support+and+Resistance+EURUSD1.JPG" height="394" title="Daily Support and Resistance EURUSD" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>Daily </b>Support and Resistance EURUSD<b><br />
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<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj4646-faUy9phgSP0zeX9QYAjoFlFcWN_waCIEbDU0QA2VycO4M0l38OxBq66P9DjYujDJpiRZZTDajp1aSru9C1hXh3_6uGG_DzZZdkvyH7_oR7o5lSUx1zeCCtmNf12A_8LwCDgpWTCl/s1600/Technical+Chart+Analysis+Euro+US+Dollar1.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="Technical Chart Analysis Euro US Dollar" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj4646-faUy9phgSP0zeX9QYAjoFlFcWN_waCIEbDU0QA2VycO4M0l38OxBq66P9DjYujDJpiRZZTDajp1aSru9C1hXh3_6uGG_DzZZdkvyH7_oR7o5lSUx1zeCCtmNf12A_8LwCDgpWTCl/s640/Technical+Chart+Analysis+Euro+US+Dollar1.JPG" height="506" title="Technical Chart Analysis Euro US Dollar" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>4-hour </b>Rejection Candles Hammer </td></tr>
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<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEh7vmiUAyjD4AKd7QOj8QTceVAwtjKcUHsft9TYVha5f1Y73u2YKQkwAtp5Q30ey8r9zZCWYHsxh_eOt6z5UUnZ_cJVsl1h4DvWxIivNlS38uyQgUqr0rr2cVkVNu8QYGZFJ70wT9USGn-P/s1600/Technical+Chart+Analysis+Euro+US+Dollar2.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="Technical Chart Analysis Euro US Dollar" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEh7vmiUAyjD4AKd7QOj8QTceVAwtjKcUHsft9TYVha5f1Y73u2YKQkwAtp5Q30ey8r9zZCWYHsxh_eOt6z5UUnZ_cJVsl1h4DvWxIivNlS38uyQgUqr0rr2cVkVNu8QYGZFJ70wT9USGn-P/s640/Technical+Chart+Analysis+Euro+US+Dollar2.JPG" height="458" title="Technical Chart Analysis Euro US Dollar" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>1 hour </b>Hammer/ Pin bar Euro US Dollar Candlestick Chart Patterns<b><br />
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<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjaiyxIZj6Fqqzukcj7c03_5wPAXS55r-zom-9HU8p9NOWCBa-QXvTGFXK8gYTKIGbd0-INKfub-orhEW8tOZB9DrgMRKwiHYgL_OILxNLuAjSH_7glL7vv3RwTr64bostiXtqAjhZxmfF_/s1600/Technical+Chart+Analysis+EurUsd5.JPG" style="margin-left: auto; margin-right: auto;"><img alt="Technical Chart Analysis EurUsd" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjaiyxIZj6Fqqzukcj7c03_5wPAXS55r-zom-9HU8p9NOWCBa-QXvTGFXK8gYTKIGbd0-INKfub-orhEW8tOZB9DrgMRKwiHYgL_OILxNLuAjSH_7glL7vv3RwTr64bostiXtqAjhZxmfF_/s640/Technical+Chart+Analysis+EurUsd5.JPG" height="522" title="Technical Chart Analysis EurUsd" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>5 min </b>Technical Chart Analysis Euro US Dollar</td></tr>
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FxTraderhttp://www.blogger.com/profile/03884636782027160810noreply@blogger.com0tag:blogger.com,1999:blog-8607348999881618629.post-25335303528163771092012-11-15T18:54:00.001+00:002014-09-06T21:54:22.856+01:00Daily EURO Support/ Resistance levels<div dir="ltr" style="text-align: left;" trbidi="on">
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<h2>
<b>Support and Resistance</b></h2>
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<h3>
<b>EUR USD Technical Chart Analysis</b></h3>
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The EURO started to move upward today, after yesterday's news shakeout at 7 p.m. GMT, which cleared the stops above the low of Sept. 10th at 1.2755 and then reversed to clear the stops below 1.2724. </div>
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Today's upward momentum might be the following of the daily hammer candlestick pattern on Tuesday.<br />
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The Euro moved higher with the triggering of continuation patterns (green circles/ellipses) and Breakout timing setups (red circles/ellipses) until market reached strong resistance at the 1.28 level. This resistance zone consists of the low of October 1st, the monthly S1, the 61.80 % Fibonacci retracement on the 4 hour chart and the 38,20 % Fibonacci retracement on the daily chart. Market reversed at the 1.28 level and started to move lower.<br />
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On the 5 min chart we see how market broke through the downward sloping green trend line at 2:15 p.m. (Breakout trading-prior candle closed at trend line) so that the consolidation/ triangle got terminated. Market started to consolidate in a shape of a continuation pattern after the breakout of the triangle and price retested the daily R1, the high and the downward sloping trend line of the consolidation (resistance becomes support-successful retest). The Euro terminated the continuation pattern on the 5 min chart and market broke through yesterday's high with the beginning of the new hourly candle after the previous one closed strongly at resistance (yesterday's high-Breakout trading).<br />
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Recent main support and resistance levels have been the low of October 1st and September 10th and the high of last Tuesday. Yesterday's high (news spike) is also likely to play an important S/R role.<br />
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<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiF5z0LJHauuSaziv9xklyNWpUR2OmhME_llbpKBNQ4kM7n02Pa1nFbH0TqCmZMSXW5kto4lZWBYjap16h8aS3HiWtoKvdVAgouY8AHGiDqDOtweFHRne_5r5_Y1CKjkRY4iJ6NtuRW0xuK/s1600/Daily+Support+and+Resistance+EURUSD.JPG" style="clear: left; margin-bottom: 1em; margin-left: auto; margin-right: auto;"><img alt="Daily Support and Resistance EURUSD" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiF5z0LJHauuSaziv9xklyNWpUR2OmhME_llbpKBNQ4kM7n02Pa1nFbH0TqCmZMSXW5kto4lZWBYjap16h8aS3HiWtoKvdVAgouY8AHGiDqDOtweFHRne_5r5_Y1CKjkRY4iJ6NtuRW0xuK/s320/Daily+Support+and+Resistance+EURUSD.JPG" height="320" title="Daily Support and Resistance EURUSD" width="280" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>Daily </b>Support and Resistance EURO <span style="font-size: xx-small; text-align: start;">Fibonacci retracement</span></td></tr>
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<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiQccPTIBHAL-pDCpmw1eNkda3GlSN7BqdOmTeDeCwk_2H2eF2x3XWYBE3tBgsXhDqlirPd9pdQ2vGrosWK6f5AvoO5zjG6XfmGMzKLWomI_xF5SwMe4gZQttzWr8pmi0z6MVvn-6FelR48/s1600/Technical+Chart+Analysis+Eurusd4.JPG" imageanchor="1" style="clear: right; margin-bottom: 1em; margin-left: auto; margin-right: auto;"><img alt="Technical Chart Analysis Eurusd" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiQccPTIBHAL-pDCpmw1eNkda3GlSN7BqdOmTeDeCwk_2H2eF2x3XWYBE3tBgsXhDqlirPd9pdQ2vGrosWK6f5AvoO5zjG6XfmGMzKLWomI_xF5SwMe4gZQttzWr8pmi0z6MVvn-6FelR48/s400/Technical+Chart+Analysis+Eurusd4.JPG" height="296" title="Technical Chart Analysis Eurusd" width="400" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>4 hour </b>D<span style="font-size: x-small;">aily EURO <span style="font-size: xx-small; text-align: start;">Fibonacci retracement,</span> Resistance Levels</span></td> </tr>
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<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjXd0mUZpIwCQJHroIHIa28c42RNbSULTmpFR3FVQfxuLlBOZfZChxq7Kvj6faeKpedeIFf4W59w6oxK0m03GQ5Xt9hBRH5DnVD-palfa2YObQQFAmhyAOpphP8y4mZTz2A2AOp8kwhB3qZ/s1600/News+Shakeout+technical+chart+analysis+eurusd.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="News Shakeout technical chart analysis eurusd" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjXd0mUZpIwCQJHroIHIa28c42RNbSULTmpFR3FVQfxuLlBOZfZChxq7Kvj6faeKpedeIFf4W59w6oxK0m03GQ5Xt9hBRH5DnVD-palfa2YObQQFAmhyAOpphP8y4mZTz2A2AOp8kwhB3qZ/s640/News+Shakeout+technical+chart+analysis+eurusd.JPG" height="504" title="News Shakeout technical chart analysis eurusd" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>hourly </b>EURO Support/ Resistance</td></tr>
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<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgZEAuZFEU5u92L1hgjX6ZTwLucQ2F1tGxjiT7yPU-yTdHEo7LFj0MvAqWVBHak9WPoYkWeShtebqAvZP9AMOYIsYHu_VNN97Qynk2ILTMcylZ0S7Esr7snM-3XDheobF_OGW18HcQJA6xz/s1600/Technical+Chart+Analysis+Euro+US+Dollar.JPG" style="margin-left: auto; margin-right: auto;"><img alt="Technical Chart Analysis Euro US Dollar" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgZEAuZFEU5u92L1hgjX6ZTwLucQ2F1tGxjiT7yPU-yTdHEo7LFj0MvAqWVBHak9WPoYkWeShtebqAvZP9AMOYIsYHu_VNN97Qynk2ILTMcylZ0S7Esr7snM-3XDheobF_OGW18HcQJA6xz/s640/Technical+Chart+Analysis+Euro+US+Dollar.JPG" height="488" title="Technical Chart Analysis Euro US Dollar" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>5 min </b>Support and Resistance</td></tr>
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<b><i>The Chart Analysis of the trading days before</i></b><br />
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On the daily chart (first chart) we see that the EUR/USD created a hammer candlestick pattern yesterday. Market moved higher and the Euro is currently trading at the low of September 10th at 1.2755 (pink line) and the daily 10 SMA. Slightly above is the hourly 200 SMA, the weekly Pivot point and the daily R2.<br />
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Yesterday's high at 1.2729 (thick blue line below) initially acted as resistance but after the level got broken the blue line acted as support and market bounced back from yesterday's high (successful retest, changing role of daily S/R levels). The rising 20 SMA on the hourly chart also provided support at 7 a.m. together with the consolidation price zone (green ellipse, orange arrow) and again at 4 p.m..<br />
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<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjxRXR3WOypAPyQf5GVhTaIW6qFdL-fd7eFYIhaDlkMT0zPQqODG1QnJSmQ4ROTRcdxcWvg1lrKGLvje9ol5OTfZNc3GGD4zqLk5zV7tOXMdincdbIMUfAZi5nXIo-cZnzxXqTcnt29Tj_r/s1600/Technical+Chart+Analysis+EurUsd3.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt=" Technical Chart Analysis Daily S/R" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjxRXR3WOypAPyQf5GVhTaIW6qFdL-fd7eFYIhaDlkMT0zPQqODG1QnJSmQ4ROTRcdxcWvg1lrKGLvje9ol5OTfZNc3GGD4zqLk5zV7tOXMdincdbIMUfAZi5nXIo-cZnzxXqTcnt29Tj_r/s640/Technical+Chart+Analysis+EurUsd3.JPG" height="430" title=" Technical Chart Analysis Daily S/R" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>1 hour </b>Hammer Chart Pattern | Daily S/R | SMA<b><br />
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FxTraderhttp://www.blogger.com/profile/03884636782027160810noreply@blogger.com0tag:blogger.com,1999:blog-8607348999881618629.post-75376811487657594702012-11-13T18:26:00.000+00:002014-09-06T21:59:21.566+01:00Candlestick Patterns Hammer <div dir="ltr" style="text-align: left;" trbidi="on"><h2>Price Reversal</h2><br />
<h3><b>Hammer Candlestick</b></h3><br />
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<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjLFvYvpiUtkh-pD0ZtKWU76f9UsJsai-TJtWReopBMDP8XXw89dZMpfIHoZ7_gXVB-AYS0GsASnSpqGEvRs_eLZIFctDqSCBBZQGpjKRf8y-jEppeyZUUxwLuMSS8VHtBjiG9HZo-SFyl1/s1600/Technical+Chart+Analysis+1.JPG" imageanchor="1" style="clear: right; margin-bottom: 1em; margin-left: auto; margin-right: auto;"><img alt="Candlestick patterns hammer" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjLFvYvpiUtkh-pD0ZtKWU76f9UsJsai-TJtWReopBMDP8XXw89dZMpfIHoZ7_gXVB-AYS0GsASnSpqGEvRs_eLZIFctDqSCBBZQGpjKRf8y-jEppeyZUUxwLuMSS8VHtBjiG9HZo-SFyl1/s320/Technical+Chart+Analysis+1.JPG" height="267" title="Candlestick patterns hammer" width="320" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>1 hour </b>Candlestick Patterns Hammer, <span style="text-align: start;">Price Reversal</span></td></tr>
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<h4>Candlestick Chart pattern</h4><br />
The Euro had a relatively quite session again today. Market price broke out of yesterday's consolidation pattern with the beginning of the new daily candle (Breakout trading) and the Euro made a new daily low but market hold at the daily S2 support.<br />
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At 10 a.m. the Euro created a hammer candlestick pattern and EUR/USD market price started to move upwards.<br />
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The three consecutive lows from 4 a.m. to 10 a.m. might be seen as a Three Drives pattern. Interestingly, the Euro always closed above the daily S2. The three consecutive lows tempered many breakout traders to go short following the breakout of yesterday's consolidation pattern.<br />
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These false breakouts caught many traders in the wrong position which often leads to a price reversal. The hammer pattern (Price rejection) initiated this price reversal and the EUR/USD moved back into yesterday's consolidation pattern. Yesterday's consolidation price zones acted as resistance as price approached this level again and the Euro reversed back down.<br />
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The 5 min EUR/USD chart shows some Fibonacci levels which could helped the trader to find entry and exit points. The red arrows show some false breakouts, which occurred today.<br />
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The 5 min chart also shows that we did not have a confirmed breakout through the daily S2. See <a href="http://forex-chartanalysis.blogspot.com/p/chart-patterns-explained.html#Noconfirmation" target="_blank">Unconfirmed Breakout Candle</a><br />
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<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiekgsyCczZzAalk1LnsQXrSMhjFg_PQfKevZ5ux5aN33ocDyN531vjK7jowTgwxk9A2Qkc0WcIOzlLkEes5FsNTKJVFTl2FDiuT6BlLLoTHAKbLIpf9hmdUQJ11Ou1yvvX81m3pDrnLark/s1600/Technical+Chart+Analysis+EurUsd2.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiekgsyCczZzAalk1LnsQXrSMhjFg_PQfKevZ5ux5aN33ocDyN531vjK7jowTgwxk9A2Qkc0WcIOzlLkEes5FsNTKJVFTl2FDiuT6BlLLoTHAKbLIpf9hmdUQJ11Ou1yvvX81m3pDrnLark/s640/Technical+Chart+Analysis+EurUsd2.JPG" height="524" title="" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>5 min </b>EUR/USD Chart Pattern<b><br />
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</div>FxTraderhttp://www.blogger.com/profile/03884636782027160810noreply@blogger.com0tag:blogger.com,1999:blog-8607348999881618629.post-1851097848515672582012-11-09T19:23:00.002+00:002014-09-06T22:02:09.037+01:00Flag patterns, Pennants, Ledges<div dir="ltr" style="text-align: left;" trbidi="on"><h2>Continuation Trading Chart Patterns</h2><br />
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<h3>Trading Flag patterns, Pennants and Ledges</h3><br />
<h4>EUR/USD</h4><br />
<table cellpadding="0" cellspacing="0" class="tr-caption-container" style="float: right; text-align: right;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj1aQnpOwc3F8lOWHPTfa0UjDtVa0lgW7z5GKRiQ065J0H3jUbKqtEzl2LNl3FZzjQJOETAclNCX2nlMBYBaaPDgzBlifhJac6FjmkrV8W8CucIZh00doweLg0eB6F8i3xbS0H9jCYOs02n/s1600/Technical+Chart+Analysis+Euro.JPG" style="clear: right; margin-bottom: 1em; margin-left: auto; margin-right: auto;"><img alt="Technical Chart Analysis EURUSD" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj1aQnpOwc3F8lOWHPTfa0UjDtVa0lgW7z5GKRiQ065J0H3jUbKqtEzl2LNl3FZzjQJOETAclNCX2nlMBYBaaPDgzBlifhJac6FjmkrV8W8CucIZh00doweLg0eB6F8i3xbS0H9jCYOs02n/s320/Technical+Chart+Analysis+Euro.JPG" height="320" title="Technical Chart Analysis EURUSD" width="291" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>4 hour </b> Chart Pattern/ Analysis</td></tr>
</tbody></table> continued its downtrend today in the beginning of the European trading session with the triggering of the Head and Shoulders pattern on the 5 min chart, which occurred at the daily R1 and the 20 SMA on the 4 hour chart after clearing the stops above the consolidation high.<br />
<br />
On the 5 min chart we see many Continuation chart patterns (Flag patterns, Pennants, Ledges - see green circles), which got triggered and market resumed its downward trend. Very often the EUR/USD made attempts to renew its downtrend with the beginning of the new trading hour for a true or false break of support, frequently after closing at support level e.g. 8 a.m., 9 a.m. 11 a.m. 1 p.m. and vise versa for the uptrend at 3 p.m. and 5 p.m. (see red circles on hourly chart - Breakout Timing).<br />
The Consolidation pattern between 11 a.m. and 12:20 p.m. GMT can be seen as a bear flag of the recent impulsive downward move from 10 a.m. to 11 a.m. (5 min chart).<br />
<br />
The daily Pivot point changed its role from support to resistance after the break of this level 8:45 a.m. (see 5 min chart).<br />
<br />
The Euro found some support at the Fibonacci Cluster at around 1.2692, the 61.80 % Fibonacci Extension of the recent 4-hour swing down and the 100 % Fibonacci Extension level on the 5 min chart. From there, market leveled off.<br />
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<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEicYuk2f8Q1vZMNN_HplEwoRz9QC8ov6nNLra0niS-RkD5HFLpXBx6Yvi5xTzv0YcMiA9kzl2TBFFh8X4Ldmf4FLhbhrcJHBCtahG9rNWfXmQrA11fYsyEuF3Bqevp-t5vgcySeeXZAsMms/s1600/Technical+Chart+Analysis+EurUsd.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="Technical Chart Analysis Euro" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEicYuk2f8Q1vZMNN_HplEwoRz9QC8ov6nNLra0niS-RkD5HFLpXBx6Yvi5xTzv0YcMiA9kzl2TBFFh8X4Ldmf4FLhbhrcJHBCtahG9rNWfXmQrA11fYsyEuF3Bqevp-t5vgcySeeXZAsMms/s640/Technical+Chart+Analysis+EurUsd.JPG" height="466" title="Technical Chart Analysis Euro" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>1 hour </b>Continuation Chart Patterns Analysis</td></tr>
</tbody></table><br />
<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEifr3PJu8ISDM2_7Duv92kDUrcnmsgWW_1npWXTgCNXIC8quYplk3wrMaP8G7lH3oYTKApkxDChm4vHeL1zg5kOlnrw2ubx9R9TTS2Vk-PRWmUddrIMY0jTpEPEvg8HtkfFWezY8SnPTzxj/s1600/Head+and+Shoulders+pattern+target.JPG" style="margin-left: auto; margin-right: auto;"><img alt="Technical Chart Analysis EURUSD" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEifr3PJu8ISDM2_7Duv92kDUrcnmsgWW_1npWXTgCNXIC8quYplk3wrMaP8G7lH3oYTKApkxDChm4vHeL1zg5kOlnrw2ubx9R9TTS2Vk-PRWmUddrIMY0jTpEPEvg8HtkfFWezY8SnPTzxj/s640/Head+and+Shoulders+pattern+target.JPG" height="488" title="Technical Chart Analysis EURUSD" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>5 min </b><span style="font-size: xx-small; text-align: start;">Continuation Chart Patterns (Flag patterns, Pennants, Ledges)</span></td></tr>
</tbody></table><br />
</div>FxTraderhttp://www.blogger.com/profile/03884636782027160810noreply@blogger.com0tag:blogger.com,1999:blog-8607348999881618629.post-56472245639178742982012-11-08T18:19:00.001+00:002014-09-06T22:12:43.693+01:00Trading Gartley patterns<div dir="ltr" style="text-align: left;" trbidi="on"><div dir="ltr" style="text-align: left;" trbidi="on"><h2>The Gartley Chart pattern </h2><br />
<br />
<h3>Euro US Dollar Trading Strategies</h3><br />
<h4>Euro Us Dollar</h4><div class="separator" style="clear: both;"> reversed down yesterday starting from the daily 10 SMA and closed at the important daily support level from the September 10th low. The closing of a bearish candle at support increases the chance of a true or false breakout through the support level vice versa with the starting of the new candle, which has happened with today's daily candle. These breakout timing strategies are marked with a red ellipse/circle on the charts. </div><br />
<br />
Market continued its current downtrend in today's European session after the termination of the consolidation pattern on the hourly chart, which consists of the typical three swings. The EURO made a fresh new low at the 61.80 % fib extension from the recent daily swing down and market created a kind of hammer pattern, leading to a new consolidation.<br />
<br />
On the 5 min chart we see that the weekly pivot, the 200 SMA and particularly the low of September 10th, which changed from a support to a resistance level due to the recent breach, provided resistance throughout the trading session. The red arrows show the stop clearing/ stop fishing, where market only temporarily broke important pivot points to clear the stops before reversing. </div><br />
<br />
The green ellipses/ circles show consolidation patterns. On the 5 min chart there were two interesting consolidation patterns, a bull and a bear flag. The orange arrows show that the price zone of the consolidation patterns often provide some support/resistance when price moves back into this zone for the first time. Furthermore, fibonacci levels helped to find potential reversing points.<br />
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<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjGBzuRDqim99m2L8OEPhzpKxCIr2YpmmX71kFstubmy1_YsxOyQ2a9yZSQUatumXdBslCioS6hrGJLW_RKWaxqpD-4obDPNim3TigKrER1gsNppsU3TJd_cFyMPJghJNsbh-zn_B2Ivr7O/s1600/Gartley+Chart+pattern1.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="Gartley Chart pattern" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjGBzuRDqim99m2L8OEPhzpKxCIr2YpmmX71kFstubmy1_YsxOyQ2a9yZSQUatumXdBslCioS6hrGJLW_RKWaxqpD-4obDPNim3TigKrER1gsNppsU3TJd_cFyMPJghJNsbh-zn_B2Ivr7O/s640/Gartley+Chart+pattern1.JPG" height="384" title="Gartley Chart pattern" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>Daily </b>Gartley Chart pattern</td></tr>
</tbody></table><br />
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<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhhXvmn2c_4QZve5QTDWKKPjdsg-uNo6QLk1qeqcOccqLogu978SqGsyz5iqUIixWcIfzdi6ueOwxRfUbH5Uy8taSCOLUsGXHbF0HEbA_Z0xVkOrNOKhkO9IYkw3f3TEeyInB5KYur9nJYD/s1600/three+swing+consolidation+pattern.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="Euro US Dollar trading strategies" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhhXvmn2c_4QZve5QTDWKKPjdsg-uNo6QLk1qeqcOccqLogu978SqGsyz5iqUIixWcIfzdi6ueOwxRfUbH5Uy8taSCOLUsGXHbF0HEbA_Z0xVkOrNOKhkO9IYkw3f3TEeyInB5KYur9nJYD/s640/three+swing+consolidation+pattern.JPG" height="582" title="Euro US Dollar trading strategies" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>1 hour</b> Euro US Dollar trading strategies</td></tr>
</tbody></table><br />
<br />
<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEh14XwnDosWFPobkLG1v-WSNPemrU3zCMUT5pv3ZSJpBTmjqdqwBp7LlepvJZTIIupKkERccOTye__J8rvP_QknSDRS5TSkrJ_W3lAcCvhw5Vmojgk-dJzGW_ITk03BMUeuTLEcJgNzm76C/s1600/Technical+Chart+Analysis2.JPG" style="margin-left: auto; margin-right: auto;"><img alt="Euro US Dollar trading strategies" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEh14XwnDosWFPobkLG1v-WSNPemrU3zCMUT5pv3ZSJpBTmjqdqwBp7LlepvJZTIIupKkERccOTye__J8rvP_QknSDRS5TSkrJ_W3lAcCvhw5Vmojgk-dJzGW_ITk03BMUeuTLEcJgNzm76C/s640/Technical+Chart+Analysis2.JPG" height="574" title="Euro US Dollar trading strategies" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>5 min</b> Euro US Dollar trading strategies</td></tr>
</tbody></table><br />
</div>FxTraderhttp://www.blogger.com/profile/03884636782027160810noreply@blogger.com0tag:blogger.com,1999:blog-8607348999881618629.post-58081276900573254802012-11-07T17:56:00.001+00:002014-09-06T22:18:25.063+01:00Technical Pattern Gartley<div dir="ltr" style="text-align: left;" trbidi="on">
<h2>
<b>EURO /USD Chart Reading</b></h2>
<br />
<h3>
Trading the Gartley pattern</h3>
<br />
<br />
The Euro found support at the 100 % Fibonacci Extension Cluster/ Gartley pattern projection yesterday and moved up from the target of the Gartley Pattern to the daily 10 SMA. From there, market moved lower with strong bearish momentum and created a new daily low.<br />
<br />
On the 4 hour chart the EUR/USD continued its downward trend with the beginning of the new 4-hour candle at 12 a.m. after the previous candle closed at the 10 and 20 SMA Support level (Breakout Timing).<br />
The Euro found support at the daily S2 after clearing the stops below the important low of September the 10th (thick orange line). However, so far market did not close below this daily support (see hourly chart).<br />
<br />
<br />
<br />
<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhMnnH6WE2JaSNlZ3M9r4hpGuoaGkdOgHaVSpLCGEz5r7_N04tDVjv_Z3PUmrwnaAT2yAiNssy_y30FRZLCqYLwiiM3-ytLytqJmXPSDySUf91fVJJ2AIhbJF7ZDtviEdj-gzNrwwQemVnU/s1600/Gartley+Chart+pattern.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="Gartley Chart pattern" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhMnnH6WE2JaSNlZ3M9r4hpGuoaGkdOgHaVSpLCGEz5r7_N04tDVjv_Z3PUmrwnaAT2yAiNssy_y30FRZLCqYLwiiM3-ytLytqJmXPSDySUf91fVJJ2AIhbJF7ZDtviEdj-gzNrwwQemVnU/s640/Gartley+Chart+pattern.JPG" height="380" title="Gartley Chart pattern" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;">Gartley Techncial Chart pattern</td></tr>
</tbody></table>
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<br />
<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEg0InkkXUgQChHoMAaJsv-RW2w0096fzBfhZLtTAo2oK_laE5OTA6ie-pVes2fdRWzfo89aWimwoLBAcyz3GcY0N30jEsZdvm1PwIGEGRloSD5nLcieCcgL2Cvn7mWb7pO1gLOOYskeP668/s1600/Technical+Chart+Analysis.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="Euro Technical Chart Analysis" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEg0InkkXUgQChHoMAaJsv-RW2w0096fzBfhZLtTAo2oK_laE5OTA6ie-pVes2fdRWzfo89aWimwoLBAcyz3GcY0N30jEsZdvm1PwIGEGRloSD5nLcieCcgL2Cvn7mWb7pO1gLOOYskeP668/s640/Technical+Chart+Analysis.JPG" height="546" title="Euro Technical Chart Analysis" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>4 hour </b>Euro <span style="font-size: xx-small; text-align: start;">100 % Fibonacci Extension</span></td></tr>
</tbody></table>
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<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi53_eU2A1vk_teMpmYCjC7T-yG929eHkenqW3EsH2Bb0r5eMiQljbgvjmUFzPEyyXkuXnmUGpe7UOEae_gPlan2DfO4n5VTyR8nEWk22Eh8zMGizVbFSPAFZbkqWL_dEiChbQgoYHlSItF/s1600/Technical+Chart+Analysis1.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="Euro Dollar Technical Chart Analysis" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi53_eU2A1vk_teMpmYCjC7T-yG929eHkenqW3EsH2Bb0r5eMiQljbgvjmUFzPEyyXkuXnmUGpe7UOEae_gPlan2DfO4n5VTyR8nEWk22Eh8zMGizVbFSPAFZbkqWL_dEiChbQgoYHlSItF/s640/Technical+Chart+Analysis1.JPG" height="420" title="Euro Dollar Technical Chart Analysis" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>1 hour</b> Euro Dollar Technical Chart Analysis</td></tr>
</tbody></table>
<br />
<br />
<br />
<span style="font-size: large;">Technical Chart Analysis of the day before</span><br />
<br />
<h3>
The Gartley chart pattern</h3>
<br />
played out well. Currently, the EUR/USD is holding at the Fibonacci Support zone, which consists of the two 100 % Fibonacci Extension levels. Furthermore, this support zone coincides with the Daily S1 and the consolidation price zone of the prior consolidation pattern on the left side of the Euro US Dollar Chart. We also had a nice Doji Candlestick chart pattern on the EUR USD.<br />
The red circles on the daily Euro chart mark some Breakout Timing Strategy, whereby market closed at the support level with a bearish candlestick (20 SMA and daily support level) and breached support with the new daily candle.<br />
<br />
<br />
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<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi7eoliV6Dhbke3qUO5T_aWxzDAyInqGePVpq7qQLdAn0ZHVYIdAnc5YWkJOvVN3B99UCgwzgKJzLdUwbv28Az1v8K10_wVuRDnItwLqFzrHdhknuzmmDjxLiTIohMo7s4FYHQctLWMHK0o/s1600/daily+Gartley+pattern.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="Gartley pattern" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi7eoliV6Dhbke3qUO5T_aWxzDAyInqGePVpq7qQLdAn0ZHVYIdAnc5YWkJOvVN3B99UCgwzgKJzLdUwbv28Az1v8K10_wVuRDnItwLqFzrHdhknuzmmDjxLiTIohMo7s4FYHQctLWMHK0o/s640/daily+Gartley+pattern.JPG" height="436" title="Gartley pattern" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;">Gartley Chart Pattern, Doji, Breakout Trading Strategy</td></tr>
</tbody></table>
</div>
FxTraderhttp://www.blogger.com/profile/03884636782027160810noreply@blogger.com0tag:blogger.com,1999:blog-8607348999881618629.post-84313555945085744642012-10-25T19:11:00.002+01:002014-09-06T22:25:47.850+01:00Candlestick patterns Hammer and Evening star<div dir="ltr" style="text-align: left;" trbidi="on">
<h2>
Hammer and Evening Star</h2>
<br />
<h3>
<b>Evening Star and Hammer Chart pattern</b></h3>
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<br />
<table cellpadding="0" cellspacing="0" class="tr-caption-container" style="float: right; margin-left: 1em; text-align: right;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgK5pEKn9yYXaPZOZU5yJYLk9G4eZF_ohdv7atPhRudvNNlIQOyMbwhWYvGEUezI7wL70lQnQjxy6sR0d_v_wQHjofUL3cr0WbXmlVCsMMpMCs0RW07SIHQggL_fHbr6gKmr39OAAmG6sU-/s1600/evening+star+pattern+1.JPG" imageanchor="1" style="clear: right; margin-bottom: 1em; margin-left: auto; margin-right: auto;"><img alt="Evening Star pattern" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgK5pEKn9yYXaPZOZU5yJYLk9G4eZF_ohdv7atPhRudvNNlIQOyMbwhWYvGEUezI7wL70lQnQjxy6sR0d_v_wQHjofUL3cr0WbXmlVCsMMpMCs0RW07SIHQggL_fHbr6gKmr39OAAmG6sU-/s320/evening+star+pattern+1.JPG" height="292" title="Evening Star pattern" width="320" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>4 hour</b> Evening Star pattern</td></tr>
</tbody></table>
<h4>
<b>EUR/USD</b></h4>
retraced up to the weekly Pivot point where market formed a kind of Evening Star pattern and market price started to turn around.<br />
<br />
On the 1 hour Euro US Dollar chart (last 10 candlesticks) we see how market closed at support and breached it with the beginning of the new hourly candle [<a href="http://forex-chartanalysis.blogspot.com/p/breakout-trading.html" target="_blank">Breakout Timing setup</a>-red ellipses, market closed at each support level (10 SMA, 20 SMA and daily pivot point)] and broke through it with the new hourly candle).<br />
<br />
The repeated pattern of a bearish candle close at a support level and the following break of this support level with the beginning of a new candle often occurs in a strong bearish trend or a surge in downside momentum.<br />
<br />
<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjJi9AIJHHtWH4qYh9asRm20mTGRk-fGQabOLm3JqJd1Pi-L1KbNlMNBhDvGy9S7oAZ995EJyED7ArWPRE32qrh1mrXJr-DcVQsulG8T3tOjFDaHdId-H3NwMHQ-FYNY4MUBtsoy9RxQJu4/s1600/hammer+candlestick+pattern.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="hammer candlestick" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjJi9AIJHHtWH4qYh9asRm20mTGRk-fGQabOLm3JqJd1Pi-L1KbNlMNBhDvGy9S7oAZ995EJyED7ArWPRE32qrh1mrXJr-DcVQsulG8T3tOjFDaHdId-H3NwMHQ-FYNY4MUBtsoy9RxQJu4/s640/hammer+candlestick+pattern.JPG" height="518" title="hammer candlestick" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>1 hour</b> Hammer candlestick</td></tr>
</tbody></table>
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<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgAKY8X0HyrS7X2sWEZEHvOhcrgFeg2_cf4WQJikggveKMlNZtfFI_fUqpgSkXAaPpaaR-pdgDAy24GEfufRbX_rEDSIQlSOn9HVyD4FBwUmN3-4MovRClQmZxfdclxpJ71jVUgjYijJz4o/s1600/Pivot+Points.JPG" style="margin-left: auto; margin-right: auto;"><img alt="Pivot points" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgAKY8X0HyrS7X2sWEZEHvOhcrgFeg2_cf4WQJikggveKMlNZtfFI_fUqpgSkXAaPpaaR-pdgDAy24GEfufRbX_rEDSIQlSOn9HVyD4FBwUmN3-4MovRClQmZxfdclxpJ71jVUgjYijJz4o/s640/Pivot+Points.JPG" height="508" title="Pivot points" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>5 min</b> Pivot points</td></tr>
</tbody></table>
</div>
FxTraderhttp://www.blogger.com/profile/03884636782027160810noreply@blogger.com0tag:blogger.com,1999:blog-8607348999881618629.post-55647680009022687292012-10-23T19:33:00.000+01:002014-09-06T22:37:55.074+01:00Important psychological chart levels<div dir="ltr" style="text-align: left;" trbidi="on"><h2><b>1.30 price zone in EURUSD</b></h2><br />
<h3><b>Trading Important Chart levels</b></h3><br />
<h4>The Euro</h4>found resistance at the Head and Shoulders neckline yesterday and formed a Three Drives pattern (see 1 hour chart). From this top, the EUR/USD moved down whereby the downside momentum increased today.<br />
<br />
The hourly 200 SMA, the daily S1 and the weekly Pivot point provided temporary support for the Euro before the market moved lower to the psychological important 1.30 level.<br />
Many stops can be anticipated below this major psychological level so that at least a temporary breach of this support level could happen to clear some stops. The 61.80 % fib extension at 1.3005 on the 4 hour EUR/USD chart got respected by the 4 hour candle starting at 8 a.m. GMT before the new 4 hour candle breached this important psychological 1.30 level (Timing setup).<br />
<br />
The strong 5 min momentum candle at 1.30 p.m. shows the momentum created by the stop triggering and the follow through. The EUR/USD went lower to the next major support level at around 1.2957 created by the 100 % fib extension and the 200 SMA on the 4 hour chart and the daily S3, which supported the Euro US Dollar so far.<br />
<br />
On the daily Euro chart we have a potential bearish "222" Gartley pattern.<br />
<br />
<br />
<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="float: right; margin-left: 1em; text-align: right;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEh7eGQWFrI1lBGifwIqrTY0TVD2445pm_FBZUOpVb69fWeNeBcOeKRiDYXjJrw96dRZ9Y8tx5Ua71bz0GsvwjgIFRn2ckAXROMFigV9nOttfI6nAn8okfGAASehR9ESXtE18KpEQtuYUzR_/s1600/Fibonacci+extension.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="Fibonacci extension" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEh7eGQWFrI1lBGifwIqrTY0TVD2445pm_FBZUOpVb69fWeNeBcOeKRiDYXjJrw96dRZ9Y8tx5Ua71bz0GsvwjgIFRn2ckAXROMFigV9nOttfI6nAn8okfGAASehR9ESXtE18KpEQtuYUzR_/s1600/Fibonacci+extension.JPG" title="Fibonacci extension" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>4 hour </b>Fibonacci extensions</td></tr>
</tbody></table><br />
<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="float: left; margin-right: 1em; text-align: left;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgbxKwstT2ba8UPbu_1q5dR_Y7bZxRir8W394krl4Ptcv-Iknt7A6ON1O6Abyd_65Y3dlvwL8j8B0AGw_uk8iFOkDIvKX5c3UIZ29FlKrQFbWOXd42bVxGFw1mELYdvcc1oG8IZTTcZc3zK/s1600/gartley+pattern.JPG" style="margin-left: auto; margin-right: auto;"><img alt="gartley pattern" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgbxKwstT2ba8UPbu_1q5dR_Y7bZxRir8W394krl4Ptcv-Iknt7A6ON1O6Abyd_65Y3dlvwL8j8B0AGw_uk8iFOkDIvKX5c3UIZ29FlKrQFbWOXd42bVxGFw1mELYdvcc1oG8IZTTcZc3zK/s320/gartley+pattern.JPG" height="205" title="gartley pattern" width="320" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>Daily</b> Gartley pattern</td></tr>
</tbody></table><table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgtouCy6KsshTIy3LtgqjXpS6JIDMRSWIBDWuelEF9p5Mopuwg2hQWjS9wKcZTh0MIvwnlXQuqH7jHKtIcauR_1XIWyoMURC_GQvhyKt6h5nZIHgaQ7yR5BNcrrH94ebriNnp7KkIGyyAhT/s1600/Head+and+Shoulder.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="Head and Shoulder" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgtouCy6KsshTIy3LtgqjXpS6JIDMRSWIBDWuelEF9p5Mopuwg2hQWjS9wKcZTh0MIvwnlXQuqH7jHKtIcauR_1XIWyoMURC_GQvhyKt6h5nZIHgaQ7yR5BNcrrH94ebriNnp7KkIGyyAhT/s640/Head+and+Shoulder.JPG" height="504" title="Head and Shoulder" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>1 hour </b><span style="text-align: start;">Head and Shoulders pattern </span></td></tr>
</tbody></table> <br />
<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiBQBODIVpl0TMoKEAbEyV2SIhanQfHK4dZl5dh_2XKctNAecYdqO-cHnHoCJksdyVsHMHcD0iGkljv8ra3VRtSwDFzjEFXUOXyQqCSaNAgqm0RJIEGepp4izOG6UOHRwCEsqKRzLVWhUQI/s1600/neckline+break.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="neckline break" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiBQBODIVpl0TMoKEAbEyV2SIhanQfHK4dZl5dh_2XKctNAecYdqO-cHnHoCJksdyVsHMHcD0iGkljv8ra3VRtSwDFzjEFXUOXyQqCSaNAgqm0RJIEGepp4izOG6UOHRwCEsqKRzLVWhUQI/s640/neckline+break.JPG" height="570" title="neckline break" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>5 min </b>Neckline break, Momentum<b><br />
</b></td></tr>
</tbody></table><br />
</div>FxTraderhttp://www.blogger.com/profile/03884636782027160810noreply@blogger.com2tag:blogger.com,1999:blog-8607348999881618629.post-13987795448433355182012-10-22T20:04:00.002+01:002014-09-06T22:44:00.110+01:00Head and Shoulders pattern and Neckline <div dir="ltr" style="text-align: left;" trbidi="on">
<div dir="ltr" style="text-align: left;" trbidi="on">
<h2>
Chart Pattern targets</h2>
<br />
<h3>
<b>Neckline of the Head and Shoulders </b></h3>
<br />
<h4>
<b>Euro US Dollar</b></h4>
triggered the Head and Shoulders pattern with the break of the neckline and the Euro moved lower to the Head and Shoulders target, which is marked on the chart with the 100 % Head and Shoulders target. From there, the market retraced back up to the Head and Shoulders neckline and formed a kind of Wedge pattern / Three Drives pattern before the EURUSD reversed and moved down again (right side of the chart).<br />
<br />
Overall, the two hammer candle stick pattern (right side of the hourly chart) and the 61.80 % as well as the 100 % Fibonacci extension levels on the 5 min chart helped us in predicting support and resistance zones.<br />
<br />
The first hammer candle occurred at the consolidation price zone of the prior flat "overnight" consolidation pattern of the 21th of October, which acted now as support. The price up moves after the first and the second hammer candlestick created the kind of Wedge/ Three-Drives pattern and market reversed to the downside after the Euro touched the brown neckline of the Head and Shoulders at around 1.3080.<br />
<br />
As often, market penetrated an important Chart level like the neckline and the high of the recent overnight consolidation zone of the 19th of October to clear the stop orders and trigger the limit breakout orders before reversing strongly (<a href="http://forex-chartanalysis.blogspot.com/p/price-manipulation-in-forex-market-is.html" target="_blank">False Breakouts - Market Manipulation</a>).<br />
<br />
<br />
<br />
<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiVkCzVO0DYkG8OPWKzshYo9pFDyErpLxVC95H1KhfVuBBfPQX2yhNw4Fjo1_ui4aWgZCHldL-RcMFBd-cMmTiXo-G-Wt8xJTXqSCpPM8a4OaTyMH0CS7sIuh1RP5XpWWbtB7GErtgsMjV-/s1600/Head+and+Shoulder2.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="Head and Shoulder, wedge pattern, Three Drives pattern" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiVkCzVO0DYkG8OPWKzshYo9pFDyErpLxVC95H1KhfVuBBfPQX2yhNw4Fjo1_ui4aWgZCHldL-RcMFBd-cMmTiXo-G-Wt8xJTXqSCpPM8a4OaTyMH0CS7sIuh1RP5XpWWbtB7GErtgsMjV-/s640/Head+and+Shoulder2.JPG" height="376" title="Head and Shoulder, wedge pattern, Three Drives pattern" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>1 hour </b><span style="text-align: start;">Head and Shoulders pattern, Fibonacci target</span></td></tr>
</tbody></table>
<br />
<br />
The Wedge / Three-Drives Pattern is better visible on the 5 min chart. Furthermore, we had two Head and Shoulders pattern on the 5 min chart, see the red lines marking the Head and Shoulders pattern. Both patterns worked out relatively well.<br />
<br />
The useful Fibonacci extension levels (61.80 and 100 %) are also visible on the 5 min chart below.<br />
<br />
<br />
<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhR4JGPmQrhL9IGtOmm1uH5zyK3aK-RRr1vBBkHxmdJv4CnYOkqmSLH3wcW6nZf_74FSfUT-79jq_zImCTWDTvmY6fOOTCOJBi2FK8p_zikN_f0oH1y1gd9tXszWIrT8M7VVmZWUDURAS6B/s1600/Head+and+Shoulder1.JPG" style="margin-left: auto; margin-right: auto;"><img alt="Head and Shoulder" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhR4JGPmQrhL9IGtOmm1uH5zyK3aK-RRr1vBBkHxmdJv4CnYOkqmSLH3wcW6nZf_74FSfUT-79jq_zImCTWDTvmY6fOOTCOJBi2FK8p_zikN_f0oH1y1gd9tXszWIrT8M7VVmZWUDURAS6B/s640/Head+and+Shoulder1.JPG" height="504" title="Head and Shoulder " width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>5 min </b><span style="text-align: start;">Head and Shoulders pattern and Wedge</span></td></tr>
</tbody></table>
<br />
See also <a href="http://forex-chartanalysis.blogspot.com/p/chart-patterns-analysis.html" target="_blank">Chart Pattern Manipulation</a> to understand that famous chart patterns are tricky.<br />
<br />
<i><u>The Technical Chart Analysis of the trading days before below</u></i><br />
<br />
<br />
<h4>
The EURO</h4>
<br />
found support at the Head and Shoulder price target (100 % fib extension of the Head and Shoulders height moved to the neckline break), daily S2 and 100 % Fibonacci swing projection. Pivot Points and Fibonacci extension levels only held the market temporarily. The red ellipses underlined the <a href="http://forex-chartanalysis.blogspot.com/p/breakout-trading.html" target="_blank">Breakout Timing Strategy</a> (Break of support of the new hourly candle after previous hourly candle closed bearish at the support level).</div>
<br />
<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi2ExlWyeBwR-WrMkzZK7bkL6PejnBVpgRNoLZ5upW3YFQBnZh0YPtiWmYcw99G_wEr2k_9hLvFKLKuF6Q-wW1FYM5ra7W1DF5p4VwNHWfbY_bRzjNDYV2cClO82OuNq-sUf4_MrzsS21CQ/s1600/Head+and+Shoulder+target.JPG" style="margin-left: auto; margin-right: auto;"><img alt="Head and Shoulder target" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi2ExlWyeBwR-WrMkzZK7bkL6PejnBVpgRNoLZ5upW3YFQBnZh0YPtiWmYcw99G_wEr2k_9hLvFKLKuF6Q-wW1FYM5ra7W1DF5p4VwNHWfbY_bRzjNDYV2cClO82OuNq-sUf4_MrzsS21CQ/s640/Head+and+Shoulder+target.JPG" height="324" title="Head and Shoulder target" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>1 hour</b> <span style="text-align: start;">Head and Shoulders pattern target</span></td></tr>
</tbody></table>
<br />
<br />
<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj8_dWRaXVQqxjXFLMDBAYTleS269KpwkGHW3NcDnXVMVDNjI_radI_fujz5tsD2V3yTSO1GEHzgBQ9K9KL9w9v9ta2kH41zkui8RRNTbSQAXu6gG7TvkCkLR-zW8GEWqJloLdW-T1yWfB1/s1600/Three+Drives+pattern.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="three drives pattern, head and shoulder target" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj8_dWRaXVQqxjXFLMDBAYTleS269KpwkGHW3NcDnXVMVDNjI_radI_fujz5tsD2V3yTSO1GEHzgBQ9K9KL9w9v9ta2kH41zkui8RRNTbSQAXu6gG7TvkCkLR-zW8GEWqJloLdW-T1yWfB1/s640/Three+Drives+pattern.JPG" height="354" title="three drives pattern" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>5 min </b>Three Drives pattern</td></tr>
</tbody></table>
<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjyQsHFOhS7R_czLczS7JK-A_vAafMfRNJfejXd6eOQd_2_SByaJW8s0bQTzb2Zcrw2-UV7X4NlV-e3nf-iQ8PDb1EDcWBgX_gr5yUKerIKjpxJEmElx361QxSjVNsDab2UjV5ChjeFbId7/s1600/5min-eurusd74.JPG" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"></a><br /></div>
<br />
<br />
<h3>
The Developing of the Head and Shoulders pattern</h3>
<br />
<br />
<h4>
<b>Head and Shoulders neckline and Fibonacci Analysis</b></h4>
<br />
<br />
on hourly chart but neckline and daily S1 held the market so far. The Euro found resistance at the weekly S2.<br />
<br />
In today's session the Euro often found resistance and support at 61.80 % and 100 % Fibonacci extension levels and market often cleared the stops (stop fishing - false breakout) below recent lows (see red arrows on 5 min chart).<br />
<br />
<br />
The <a href="http://forex-chartanalysis.blogspot.com/p/fibonacci-analysis.html" target="_blank">Fibonacci Extension and Retracement levels</a> as well as the Pivot Points revealed important Support and Resistance zones (5 min chart analysis)<br />
<br />
<br />
<table cellpadding="0" cellspacing="0" class="tr-caption-container" style="float: left; margin-right: 1em; text-align: left;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhgTXtTczOXu24b0hj1__kRaOttSJcFceSXHQKfFmWE6gmDwT8zPYZ_jThwsw9k77c1B_TasEl696qz0zOnI7M_t1mBBczjW9YeuHt6HDHh-EsNQvcTns6fbcSfgclpf3rhNKdGt5e1A_ww/s1600/1h-EurUsd164.JPG" imageanchor="1" style="clear: left; margin-bottom: 1em; margin-left: auto; margin-right: auto;"><img alt="Head and Shoulder pattern" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhgTXtTczOXu24b0hj1__kRaOttSJcFceSXHQKfFmWE6gmDwT8zPYZ_jThwsw9k77c1B_TasEl696qz0zOnI7M_t1mBBczjW9YeuHt6HDHh-EsNQvcTns6fbcSfgclpf3rhNKdGt5e1A_ww/s400/1h-EurUsd164.JPG" height="240" title="Head and Shoulder pattern" width="400" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>1 hour </b><span style="font-size: xx-small; text-align: start;">Head and Shoulders neckline</span></td></tr>
</tbody></table>
<br />
<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: right;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiWh1OcIu_OIYUN1djHg6u0WYPGQQeKP6TRVDoC8eH3I2co-kiwTTrKLDZi2fRLNdAKC0Sxxsw8GynTx4FuAKIkl1PV8fF-qX1-5Q_MnGBBH-tPRKN4knbYaqRCfP-D8nFGOfLrh_o2oo5E/s1600/1min11.JPG" imageanchor="1" style="clear: right; margin-bottom: 1em; margin-left: auto; margin-right: auto;"><img alt="Head and Shoulder pattern" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiWh1OcIu_OIYUN1djHg6u0WYPGQQeKP6TRVDoC8eH3I2co-kiwTTrKLDZi2fRLNdAKC0Sxxsw8GynTx4FuAKIkl1PV8fF-qX1-5Q_MnGBBH-tPRKN4knbYaqRCfP-D8nFGOfLrh_o2oo5E/s320/1min11.JPG" height="310" title="Head and Shoulder pattern" width="320" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>1 min</b> H<span style="font-size: xx-small; text-align: start;">ead and Shoulders pattern</span></td></tr>
</tbody></table>
<br />
<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEg9CcU5x5PsFbBmQst6mrxEl9nT_Xp2M2toBPTQXf9v4UB9gXg00lSmPv8vNEuJQBBo3GS7tgxsT-wbwS_-xaEBmVi52wQJ4MGsaqXeYrylfggjemHfQgcqBrCLbkjBdW1lvHzbdNbUTD0I/s1600/5min-eurusd73.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="fibonacci extension, stop fishing, chart" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEg9CcU5x5PsFbBmQst6mrxEl9nT_Xp2M2toBPTQXf9v4UB9gXg00lSmPv8vNEuJQBBo3GS7tgxsT-wbwS_-xaEBmVi52wQJ4MGsaqXeYrylfggjemHfQgcqBrCLbkjBdW1lvHzbdNbUTD0I/s640/5min-eurusd73.JPG" height="524" title="" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>5 min </b><span style="text-align: start;">Fibonacci levels </span></td></tr>
</tbody></table>
<br />
<div style="text-align: center;">
<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"></td></tr>
<tr><td class="tr-caption" style="text-align: center;"></td></tr>
</tbody></table>
</div>
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<br /></div>
FxTraderhttp://www.blogger.com/profile/03884636782027160810noreply@blogger.com5tag:blogger.com,1999:blog-8607348999881618629.post-79236469149827903062012-10-17T18:28:00.000+01:002014-09-06T22:59:54.856+01:00Typical Consolidation Pattern<div dir="ltr" style="text-align: left;" trbidi="on">
<h2 style="text-align: left;">
<b>Consolidation Price Zones </b></h2>
<div dir="ltr" style="text-align: left;" trbidi="on">
<br />
<h3>
<b>Consolidation Patterns with three Swings</b></h3>
<br />
IF you observe the consolidation patterns (green circle) then you will recognize that most of them consists of three waves/ swings (Typical consolidation pattern) before the consolidation terminates and price renews its prevailing trend. Very often these consolidation price zones also provide some support/ resistance when price captures this price zone again for the first time (orange arrow). More information about Consolidation patterns and Consolidation price zones are at: <a href="http://forex-chartanalysis.blogspot.com/p/chart-pattern-explanation.html">Support and Resistance Chart Patterns</a><br />
<br />
<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhpw11utkkkI9SA3RRzbGJd9XrjWVtb2FytENDkcxq1bzoejf-dimxk1xieWO5B9zN0ZDzxW_zVdBM4ycoTaA0EeSX1sjojPFDffFZMDsyDyukCBx31JtuzXYt5UvIrEDWC1lPNH0Mik3ss/s1600/typical+consolidation+pattern.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="typical consolidation pattern" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhpw11utkkkI9SA3RRzbGJd9XrjWVtb2FytENDkcxq1bzoejf-dimxk1xieWO5B9zN0ZDzxW_zVdBM4ycoTaA0EeSX1sjojPFDffFZMDsyDyukCBx31JtuzXYt5UvIrEDWC1lPNH0Mik3ss/s640/typical+consolidation+pattern.JPG" height="324" title="typical consolidation pattern" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>5 min </b>Typical Consolidation Pattern</td></tr>
</tbody></table>
<br />
<h4>
Three swing Consolidation formation</h4>
<br />
<br />
The Chart pattern analysis below again shows the typical three swing/ wave consolidation patterns (The two large ellipses illustrate the typical three swing consolidation formations), followed by the breakout of price in trend direction after the termination of this consolidation formation type.<br />
<img alt="typical consolidation pattern" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjBQzWpI2kYy6X1vxOeupgLTF1iDr_ZZv2xZptXbXTVCVHhwvQ2d1UVYWgKTA_2LW1RnARsOLExhlKJGif5K16BI7EewBUgOsGMZzhsN2nxAJ5O7mQjh1276LikdQTkiSfC95luQX8bAO7c/s640/typical+consolidation+pattern+1.JPG" /><br />
<br />
<h4>
Consolidation price zones in the EURUSD</h4>
<br />
On the 5 min chart of the EUR/USD below we see the formation of the pin bar candlestick pattern at the price zone of the recent consolidation pattern.The Euro moved up strongly and price momentum recedes during the formation of the larger consolidation pattern at the daily R2 Pivot (green ellipse). The price breakout of the larger consolidation (red ellipse) occurred at the beginning of the new hourly candle (11 a.m.) (Breakout timing).<br />
<br />
However, the price breakout was very shallow and market retested the consolidation price zone (blue arrow) before the Euro started to moved up further to the next smaller consolidation pattern at the daily R3 Pivot, the weekly R2 Pivot and the 100 % Fibonacci Extension level.</div>
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgQlapK_qdivVfl48li9F2K4QiIKcVZNOJNOaWnXNCu8Uyj3358ENfB6f8myPujE0m2ke89nxa0wllVPmLM212t4ZHYgq9wu5OKwDL737mnB1ln7Yb3NEhPmzaBa3Bl2zWIE08w0CAyLQjs/s1600/5min-eurusd62.JPG" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"></a><br />
<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgQlapK_qdivVfl48li9F2K4QiIKcVZNOJNOaWnXNCu8Uyj3358ENfB6f8myPujE0m2ke89nxa0wllVPmLM212t4ZHYgq9wu5OKwDL737mnB1ln7Yb3NEhPmzaBa3Bl2zWIE08w0CAyLQjs/s1600/5min-eurusd62.JPG" style="margin-left: auto; margin-right: auto;"><img alt="EURUSD Analysis" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgQlapK_qdivVfl48li9F2K4QiIKcVZNOJNOaWnXNCu8Uyj3358ENfB6f8myPujE0m2ke89nxa0wllVPmLM212t4ZHYgq9wu5OKwDL737mnB1ln7Yb3NEhPmzaBa3Bl2zWIE08w0CAyLQjs/s640/5min-eurusd62.JPG" height="520" title="EURUSD Analysis" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>5 min </b>Euro Analysis, Pin bar, Consolidation pattern</td></tr>
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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgQlapK_qdivVfl48li9F2K4QiIKcVZNOJNOaWnXNCu8Uyj3358ENfB6f8myPujE0m2ke89nxa0wllVPmLM212t4ZHYgq9wu5OKwDL737mnB1ln7Yb3NEhPmzaBa3Bl2zWIE08w0CAyLQjs/s1600/5min-eurusd62.JPG" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"></a><br />
<b>Typical three swing<b>consolidation/ continuation pattern on the 5 min chart</b></b><br />
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<b>Potential Inverted Head and Shoulders pattern</b><br />
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The Euro moved lower and created a typical three swing consolidation pattern around the 100 % Fibonacci Extension level. Price broke out of the three swing Consolidation pattern at the beginning of the new hourly and 4-hourly candle (red ellipse), which is often an important Breakout Timing (GMT).<br />
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The EUR/USD found support at the 61 % Fibonacci Extension of the recent swing down moved to the high of the consolidation pattern. Market formed a kind of inverse Head and Shoulders pattern, which might led to the price reversal of the EUR/USD to the upside<br />
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<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEg5n6ZG13S8TpnIfGfkShxV1XG0oBQT0xTPU4WUTDxUPuu1lB1txgxtODUW8evMvooBRTml2ll_uCBTZIRXPE3m3cDx5QBedWT6mBW3ttW_LuYA6aT5VF5p8F21DOEQV3SpU2mejJsD3Km4/s1600/inverted+head+and+shoulder+1.JPG" style="margin-left: auto; margin-right: auto;"><img alt="Inverted Head and Shoulder" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEg5n6ZG13S8TpnIfGfkShxV1XG0oBQT0xTPU4WUTDxUPuu1lB1txgxtODUW8evMvooBRTml2ll_uCBTZIRXPE3m3cDx5QBedWT6mBW3ttW_LuYA6aT5VF5p8F21DOEQV3SpU2mejJsD3Km4/s640/inverted+head+and+shoulder+1.JPG" height="604" title="Inverted Head and Shoulder" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>5 min</b> Inverted Head and Shoulders pattern</td></tr>
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FxTraderhttp://www.blogger.com/profile/03884636782027160810noreply@blogger.com0tag:blogger.com,1999:blog-8607348999881618629.post-70268223769495813502012-10-15T19:38:00.001+01:002014-09-16T19:48:40.999+01:00Butterfly Sell chart pattern<div dir="ltr" style="text-align: left;" trbidi="on">
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<h2>
<b>Butterfly Sell price target</b></h2>
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<h3 style="text-align: left;">
EUR/USD Technical Chart Analysis</h3>
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On Friday, we had a perfect<a href="http://forex-chartanalysis.blogspot.com/2012/10/eurusd-market-recap-2012-10-12.html" target="_blank"> butterfly sell chart pattern</a>. Today, the Euro initially went down (<a href="http://forex-chartanalysis.blogspot.com/2012/10/eurusd-market-recap-2012-10-12.html" target="_blank">Evening Star chart pattern from Friday</a>) and found support at the 61.80 % fib retracement (1.2889) and resistance at the hourly trend line (blue).</div>
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<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhaVWdn1g3IaSDScvaejF3d3-wrMpUQBSfdjnfH7Ve_E8rwh_5roSCETm1mom23I3SGBQhCo18J4bgctxuNM2_wXiY66wcKETxXZwkKpbw5k3QNAIZK0M5ZUebjwBueQeHHcctwR3qnzn3g/s1600/butterfly+sell+pattern.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="Butterfly sell pattern" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhaVWdn1g3IaSDScvaejF3d3-wrMpUQBSfdjnfH7Ve_E8rwh_5roSCETm1mom23I3SGBQhCo18J4bgctxuNM2_wXiY66wcKETxXZwkKpbw5k3QNAIZK0M5ZUebjwBueQeHHcctwR3qnzn3g/s640/butterfly+sell+pattern.JPG" height="574" title="Butterfly sell pattern" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>1 hour</b> Butterfly sell pattern</td></tr>
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<h4 style="text-align: left;">
Typical Consolidation Pattern</h4>
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On the 5 min EURUSD Chart below another typical three swing consolidation pattern is visible just at the daily Pivot Point support. The breakout of the consolidation pattern occurred with the start of the new hourly candle at 12. a.m. (Important Timing Point). The up move of the Euro found resistance at the hourly downward sloping trend line.<br />
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Interestingly, the consolidation pattern and the false breakout to the 161 % Fibonacci level at 1.2979 is very similar to the butterfly sell chart pattern. After the false price breakout to the upside to the major 161 % butterfly sell target market reversed and retraced the up move. The Euro targeted the final 161 % butterfly sell target at 1.2940, where the EURUSD paused a while before market continued the downward move to the weekly Pivot Point. The weekly Pivot provided solid support (together with the 100 % Fibonacci Extension level of the recent swing at 1.2932) and the Euro bounced back up to the daily Pivot Point.<br />
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Overall, the daily Pivot Point provided solid support at 11 a.m.. After the confirmed break of the daily Pivot to the downside at around 3 p.m. the daily Pivot changed its role from support to resistance as often after a confirmed break of important chart levels.<br />
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<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgudJigdITJ5bYC-34VXrRHkZGWc_ERpESdiMrYDFQebx6iLCocws1-IEuj2i6TppdbsFIvOTDfir2Sa0MxfRMq04HwENgMUz3Q383iwILA8b-HspUpTmJjyxpm0Kc4JJE7j7z-wY9dUfCe/s1600/5min-eurusd71.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="hourly resistance, 20 sma, daily pivot" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgudJigdITJ5bYC-34VXrRHkZGWc_ERpESdiMrYDFQebx6iLCocws1-IEuj2i6TppdbsFIvOTDfir2Sa0MxfRMq04HwENgMUz3Q383iwILA8b-HspUpTmJjyxpm0Kc4JJE7j7z-wY9dUfCe/s640/5min-eurusd71.JPG" height="370" title="EURUSD Analysis" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>5 min</b> EURUSD Analysis</td></tr>
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FxTraderhttp://www.blogger.com/profile/03884636782027160810noreply@blogger.com0tag:blogger.com,1999:blog-8607348999881618629.post-87674668823427324742012-10-12T18:13:00.001+01:002014-09-06T23:10:34.674+01:00Butterfly price targets<div dir="ltr" style="text-align: left;" trbidi="on">
<h2 style="text-align: left;">
Trading the Butterfly pattern</h2>
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A Butterfly chart pattern <b><span style="font-weight: normal;">was in today's Forex trading session in the EUR/USD on the 5 min char</span></b>t (last chart).<br />
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The Euro found resistance at the 127 % butterfly sell target (5 min chart) and from there the EUR/USD went straight to the 161 % butterfly pattern target. The consolidation price zone of the triangle pattern (hourly chart) and the hourly 200 SMA also gave some support at the 161 % butterfly pattern target at around 1.2940.<br />
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On the 4-hour chart we see an Evening Star pattern.<br />
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<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiS2Bd_i3ZGre2pmB8EOeQal8mL1l3YT5zJmUVMoHfVv6L5pfioyuKcz9U-E1Qich7RxO7sd57TOhSkp8xUrG02Wo_N_pHwR0WdoyDBU_4VVhRtxVuUTbkRLE0p95C1s2U836LqBm12ITMl/s1600/evening+star+pattern.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="Evening Star pattern" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiS2Bd_i3ZGre2pmB8EOeQal8mL1l3YT5zJmUVMoHfVv6L5pfioyuKcz9U-E1Qich7RxO7sd57TOhSkp8xUrG02Wo_N_pHwR0WdoyDBU_4VVhRtxVuUTbkRLE0p95C1s2U836LqBm12ITMl/s640/evening+star+pattern.JPG" height="460" title="Evening Star pattern" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>4 hour</b> Evening Star pattern</td></tr>
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<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhL0rgpUY7P6vI1JQBlbv3g3EAPqa4kVM1qKsYqejfRRrEAnPr130R-7vUldyIHdgXvfr6o_2DW_gCandpSpZrwsp4pUMX_t-UqTovTORrl2Q0trvuL-S_MOUq__zJNSWPaztWDJOQkcEGq/s1600/triangle+breakout.JPG" style="margin-left: auto; margin-right: auto;"><img alt="triangle breakout" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhL0rgpUY7P6vI1JQBlbv3g3EAPqa4kVM1qKsYqejfRRrEAnPr130R-7vUldyIHdgXvfr6o_2DW_gCandpSpZrwsp4pUMX_t-UqTovTORrl2Q0trvuL-S_MOUq__zJNSWPaztWDJOQkcEGq/s640/triangle+breakout.JPG" height="532" title="triangle breakout" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>1 hour triangle breakout</b></td></tr>
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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhWd2a8GhTJqGaQGA0Z23hlkY85l7Eey2s-KyZc9wlCmVonS4taHSLR7SqLwAlWfgufJRhspCYsCiiTC2ss_P7d8sDQ4CvjzlhqI1mz3p0WKMjxnX2ewyozGXzoGkG_mPkyaZeWSYxI9f1a/s1600/perfect+butterfly+sell+pattern.JPG" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><br />
</a><br />
<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhWd2a8GhTJqGaQGA0Z23hlkY85l7Eey2s-KyZc9wlCmVonS4taHSLR7SqLwAlWfgufJRhspCYsCiiTC2ss_P7d8sDQ4CvjzlhqI1mz3p0WKMjxnX2ewyozGXzoGkG_mPkyaZeWSYxI9f1a/s1600/perfect+butterfly+sell+pattern.JPG" style="margin-left: auto; margin-right: auto;"><img alt="perfect butterfly sell pattern" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhWd2a8GhTJqGaQGA0Z23hlkY85l7Eey2s-KyZc9wlCmVonS4taHSLR7SqLwAlWfgufJRhspCYsCiiTC2ss_P7d8sDQ4CvjzlhqI1mz3p0WKMjxnX2ewyozGXzoGkG_mPkyaZeWSYxI9f1a/s640/perfect+butterfly+sell+pattern.JPG" height="446" title="butterfly sell pattern" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>5 min</b> butterfly sell pattern</td></tr>
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FxTraderhttp://www.blogger.com/profile/03884636782027160810noreply@blogger.com0tag:blogger.com,1999:blog-8607348999881618629.post-26118540469085358152012-10-10T17:48:00.000+01:002014-09-06T23:21:23.644+01:00Inverted Head and Shoulders<div dir="ltr" style="text-align: left;" trbidi="on">
<h2 style="text-align: left;">
<b>Inverted Head and Shoulders neckline</b></h2>
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The Euro found support at the monthly pivot and resistance at the daily pivot. On the 5 min chart we see a nice bull flag at 12.30 p.m.. Market also found support at the uprising trend line (green) on the 5 min chart. The downward sloping 20 SMA (purple line) on the hourly provided only temporary resistance during the formation of the right shoulder of the head and shoulders formation.<br />
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On the 5 min EUR/USD chart we see many Continuation patterns (green ellipses). The ongoing trend paused during these continuation patterns (mainly Flags and Pennants) until the Continuation pattern got terminated (mostly after three swings).<br />
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The 5 min and the hourly Chart also show how market reversed at the daily Pivot Point.< <br />
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<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi1OcpBru9N7L4bFbxxb27h6k4HfVi80Ms2YoSM4ErML8PDi6yCr7Bsd0BuYwKmbfy0dIv7lQ4CpSEDrC9ecT_xMQXzpM62SpeUMSPTc7V11Zgde2_iY2cJLEH4-Bp7kiCidEDSM51C54aM/s1600/inverted+head+and+shoulder.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="Inverted Head and Shoulder" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEi1OcpBru9N7L4bFbxxb27h6k4HfVi80Ms2YoSM4ErML8PDi6yCr7Bsd0BuYwKmbfy0dIv7lQ4CpSEDrC9ecT_xMQXzpM62SpeUMSPTc7V11Zgde2_iY2cJLEH4-Bp7kiCidEDSM51C54aM/s640/inverted+head+and+shoulder.JPG" height="450" title="Inverted Head and Shoulder" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>1 hour</b> Inverted Head and Shoulders pattern</td></tr>
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<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiOh1VLGFW8hEs4hKtRY7rCYC7DJZGdRPHth190uYHlN1ppmkhqTNxaCoc9jTsahuX-qLsYccEbp-Lq0K4fSYpnIdlI26ffqxRUYqDwgPOPyGPP_y5y3lslMWHiRq7rDez1K-tgzTOvNfbN/s1600/5min-eurusd68.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="inverted head and shoulder, neckline, pin bar" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiOh1VLGFW8hEs4hKtRY7rCYC7DJZGdRPHth190uYHlN1ppmkhqTNxaCoc9jTsahuX-qLsYccEbp-Lq0K4fSYpnIdlI26ffqxRUYqDwgPOPyGPP_y5y3lslMWHiRq7rDez1K-tgzTOvNfbN/s640/5min-eurusd68.JPG" height="496" title="EUR/USD Chart Analysis, pin bar" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>5 min</b> EUR/USD Chart Analysis, Pin bar</td></tr>
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FxTraderhttp://www.blogger.com/profile/03884636782027160810noreply@blogger.com0tag:blogger.com,1999:blog-8607348999881618629.post-13953301203982047962012-10-09T19:20:00.000+01:002014-09-08T14:31:52.466+01:00Fibonacci levels and Bear Flags<div dir="ltr" style="text-align: left;" trbidi="on">
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<h2 style="text-align: left;">
<b>Fibonacci extension levels</b></h2>
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<h3 style="text-align: left;">
Flag patterns</h3>
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<b>The EUR/USD Chart Analysis</b></div>
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shows the importance of the 61.80 % and 100 % Fibonacci extension levels, which market often respects as support/ resistance, at least temporarily. On the hourly Euro Chart we see that market respected the 61.80 % Fibonacci Extension level at 8 a.m..Market retraced up from this Fibonacci Extension level to the downward sloping 20 SMA (purple line) and the 61.80 % Fibonacci retracement level. From this resistance level, which market approached at 1 p.m., the EUR/USD rolled over and continued its downward trend to the 100 % Fibonacci Extension level. The 61.80 % Fibonacci Extension level often provides only temporary support/ resistance. The 100 % Fibonacci Extension support level got further strengthened due to the weekly S1 at 1.2859.<br />
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<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjxh6zNj_iuB8VDMCxVQlkRUQe5RasteJxYGFLbu-3Afa4TXYOCsx5jOYcEnO1u8ku_lqSubbJkeZ1UaPiXpwS7ZIOeDXP1cM69NM5UcR9ChTi9RviVhxrK7TJX3uheioIegKnfbbHylg8N/s1600/1h-EurUsd158.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="fibonacci extension" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjxh6zNj_iuB8VDMCxVQlkRUQe5RasteJxYGFLbu-3Afa4TXYOCsx5jOYcEnO1u8ku_lqSubbJkeZ1UaPiXpwS7ZIOeDXP1cM69NM5UcR9ChTi9RviVhxrK7TJX3uheioIegKnfbbHylg8N/s640/1h-EurUsd158.JPG" height="552" title="fibonacci extension" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>1 hour </b><span style="text-align: start;">Fibonacci extension levels</span></td></tr>
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On the 5 min Chart we see that the EUR/USD consolidated at the uprising trend line and the daily S1, formed a bear flag (<a href="http://forex-chartanalysis.blogspot.com/p/chart-patterns-explained.html#Continuation%20chart%20patterns" target="_blank">Continuation pattern</a>) and market finally broke through the support level of the uprising trend line. Market took out the stops and triggered the limit breakout orders below the recent low (left side of the 5 min chart) and the Euro started to retrace back into the Consolidation zone (<a href="http://forex-chartanalysis.blogspot.com/p/price-manipulation-in-forex-market-is.html" target="_blank">Market Price Manipulation</a>) of the prior bear flag, which now acts as resistance (<a href="http://forex-chartanalysis.blogspot.com/p/chart-pattern-explanation.html#Consolidation%20price%20zones" target="_blank">Consolidation price zones</a>). Furthermore, the daily S1 changed its role from support to resistance after the confirmed break of this level on the 5 min chart.<br />
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<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: auto; margin-right: auto; text-align: center;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhbG8NXtBGy4PMdneq0Gwp1PSPFYM9uo92TeeF46L9rqnqjKtJUFG69JXY8g0ksrmqym601jARYr2cLh2fzg0radqlLzSL8McLR6uHUeAN05eWARJIUxYj7WnLam2WXzKqtjbGnI8a0UdTI/s1600/5min-eurusd67.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="trend line break, chart analysis, euro" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhbG8NXtBGy4PMdneq0Gwp1PSPFYM9uo92TeeF46L9rqnqjKtJUFG69JXY8g0ksrmqym601jARYr2cLh2fzg0radqlLzSL8McLR6uHUeAN05eWARJIUxYj7WnLam2WXzKqtjbGnI8a0UdTI/s640/5min-eurusd67.JPG" height="478" title="Eur/usd chart analysis" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>5 min </b>EUR/USD Chart Analysis</td></tr>
</tbody></table>
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Another EUR/USD Chart Analysis in regards of Fibonacci Extension levels and Bear flag pattern:<br />
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<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj9CKZWqGIqpu8CTBVqrC6klY6j489TZ-JhTk14j0ETqDf03kspKA-ZAwen87gjGj6dSWd3ZEaoawWyPW88JwaymizP1GS12ahg5cQVknqG3XRPadD3tNEjJkz8wIm_RtV_ABMU2zYWkvim/s1600/fibonacci+extension+1.JPG" style="clear: right; margin-bottom: 1em; margin-left: auto; margin-right: auto;"><img alt="Fibonacci Extension" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj9CKZWqGIqpu8CTBVqrC6klY6j489TZ-JhTk14j0ETqDf03kspKA-ZAwen87gjGj6dSWd3ZEaoawWyPW88JwaymizP1GS12ahg5cQVknqG3XRPadD3tNEjJkz8wIm_RtV_ABMU2zYWkvim/s400/fibonacci+extension+1.JPG" height="378" title="Fibonacci Extension" width="400" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>4 hour</b> Fibonacci Extension</td></tr>
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<h4>
<b>Fibonacci and Bear Flag</b></h4>
continued its down trend today with the triggering of the bear flag pattern. The 10 SMA on the 4 hour chart provided resistance to the Euro and the EURUSD depreciated further. The Euro found support at the daily S1 and 61.80 % Fibonacci extension (1 hour chart) and market turned around after the creation of the hammer candlestick pattern on the 5 min chart. The EUR/USD moved up to the prior consolidation price zone (bear flag - hourly chart-orange arrow), which acted as resistance.<br />
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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj_VGiAzJz0xCDXOXJBs42rmqN9VNFVUh6sF2AdWWcAZpbGJ0F2Mt-XlBN6-o0RFGttOU_JTI7bz-tpXRbUngkcXmoXA1IyZOJlk7if-NSlphvDauYWBVzb-fnVgzkxq-BrDFxmNJSk4Y3t/s1600/Eurusd+chart+analysis.JPG" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"></a></div>
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<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj_VGiAzJz0xCDXOXJBs42rmqN9VNFVUh6sF2AdWWcAZpbGJ0F2Mt-XlBN6-o0RFGttOU_JTI7bz-tpXRbUngkcXmoXA1IyZOJlk7if-NSlphvDauYWBVzb-fnVgzkxq-BrDFxmNJSk4Y3t/s1600/Eurusd+chart+analysis.JPG" style="margin-left: auto; margin-right: auto;"><img alt="EURUSD Chart" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj_VGiAzJz0xCDXOXJBs42rmqN9VNFVUh6sF2AdWWcAZpbGJ0F2Mt-XlBN6-o0RFGttOU_JTI7bz-tpXRbUngkcXmoXA1IyZOJlk7if-NSlphvDauYWBVzb-fnVgzkxq-BrDFxmNJSk4Y3t/s640/Eurusd+chart+analysis.JPG" height="500" title="EURUSD Chart" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>1 hour</b> Bear Flag pattern, Hammer</td></tr>
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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj9CKZWqGIqpu8CTBVqrC6klY6j489TZ-JhTk14j0ETqDf03kspKA-ZAwen87gjGj6dSWd3ZEaoawWyPW88JwaymizP1GS12ahg5cQVknqG3XRPadD3tNEjJkz8wIm_RtV_ABMU2zYWkvim/s1600/fibonacci+extension+1.JPG" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"></a></div>
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<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEg8Y5JtMUnctIUzgHkjv6MlF9apXIflPrvgY_8ks4Z5LvG5e70sx-5k6WBQXmS_7c55q3sZwuJa_1b-b3Jr3hUBDcv_UVL_jnPgID7RSu-YyM6d6qlem6kEQ6axUFH6hbzRF46ygTpZKGyu/s1600/hammer+candle+stick+pattern.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="EURUSD Analysis" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEg8Y5JtMUnctIUzgHkjv6MlF9apXIflPrvgY_8ks4Z5LvG5e70sx-5k6WBQXmS_7c55q3sZwuJa_1b-b3Jr3hUBDcv_UVL_jnPgID7RSu-YyM6d6qlem6kEQ6axUFH6hbzRF46ygTpZKGyu/s640/hammer+candle+stick+pattern.JPG" height="454" title="EURUSD Analysis" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>5 min </b>Hammer pattern</td></tr>
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FxTraderhttp://www.blogger.com/profile/03884636782027160810noreply@blogger.com0tag:blogger.com,1999:blog-8607348999881618629.post-38022489999893332602012-10-03T16:54:00.000+01:002014-09-15T20:35:17.968+01:00Butterfly pattern and price targets<div dir="ltr" style="text-align: left;" trbidi="on">
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Butterfly Sell pattern</h2>
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Weekly and Daily Pivot</h3>
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<b>The Euro</b></h4>
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formed a butterfly sell pattern on the 5 min chart. The turn around at the 127 % butterfly sell target coincided with the 61.80 % fib retracement on the hourly chart and the weekly R1. We also see the importance of pivot points for example of the weekly and daily pivot and daily S1 and weekly R1.</div>
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Market initially moved down at 8 a.m. to find support at the weekly Pivot Point. From the weekly Pivot the Euro bounced up strongly, creating a small bull flag at around 8:45 a.m.and later the Butterfly sell pattern. </div>
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The Butterfly pattern is a typical reversal chart pattern so that market typical retraces the preceding move after the failed breakout to the 127 % or 161 % Fibonacci extension level from the preceding Consolidation pattern at 10 a.m.. The Euro retraced back to the typical 161 % Butterfly price target, which also coincided with the 61.80 % Fibonacci retracement level of the recent swing up at around 1 p.m.at 1.29. </div>
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The Euro consolidated above the 1.29 price level with the typical three swing consolidation before breaking temporarily through the 1.29 level (psychological level). Later in the US session the Euro has been in a choppy trading environment with the daily Pivot as the upper border and the 1.29 price level as the lower border.</div>
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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhvLtlNRNVjI0vkjSyAejl7cmbI8I7Sol0QhBxzgu_pGn9GU_QwtnDtqvSlFZwobBXhWysANCYZF-YJl1AiJYmlikqZVHgR0w1eYNzAZLdxPnLv5eJnyqKZebWdPzD88BRvzuChfds41pie/s1600/butterfly+sell+pattern+1.JPG" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><br />
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<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhvLtlNRNVjI0vkjSyAejl7cmbI8I7Sol0QhBxzgu_pGn9GU_QwtnDtqvSlFZwobBXhWysANCYZF-YJl1AiJYmlikqZVHgR0w1eYNzAZLdxPnLv5eJnyqKZebWdPzD88BRvzuChfds41pie/s1600/butterfly+sell+pattern+1.JPG" style="margin-left: auto; margin-right: auto;"><img alt="butterfly sell pattern, butterfly target" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhvLtlNRNVjI0vkjSyAejl7cmbI8I7Sol0QhBxzgu_pGn9GU_QwtnDtqvSlFZwobBXhWysANCYZF-YJl1AiJYmlikqZVHgR0w1eYNzAZLdxPnLv5eJnyqKZebWdPzD88BRvzuChfds41pie/s640/butterfly+sell+pattern+1.JPG" height="550" title="butterfly sell pattern, butterfly target" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>5 min</b> Butterfly Sell Pattern, Butterfly Price Target<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhvLtlNRNVjI0vkjSyAejl7cmbI8I7Sol0QhBxzgu_pGn9GU_QwtnDtqvSlFZwobBXhWysANCYZF-YJl1AiJYmlikqZVHgR0w1eYNzAZLdxPnLv5eJnyqKZebWdPzD88BRvzuChfds41pie/s1600/butterfly+sell+pattern+1.JPG" style="margin-left: 1em; margin-right: 1em;"></a></td></tr>
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FxTraderhttp://www.blogger.com/profile/03884636782027160810noreply@blogger.com0tag:blogger.com,1999:blog-8607348999881618629.post-58712835713886560312012-10-02T11:31:00.000+01:002014-09-15T20:38:58.420+01:00Importance of the 200 SMA<div dir="ltr" style="text-align: left;" trbidi="on"><div dir="ltr" style="text-align: left;" trbidi="on"><h2><b>EURUSD Technical Chart Analysis </b></h2><br />
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<h3><b>The 200 Simple Moving Average</b></h3><br />
<h4><b>The Euro</b></h4><br />
found resistance at the downward sloping 200 SMA (Simple Moving Average) and support at the daily S1 after market took out the stops and triggered the breakout limit orders below the recent low on the left side of the chart (blue line). After the <a href="http://forex-chartanalysis.blogspot.com/p/price-manipulation-in-forex-market-is.html#Price manipulation in the Forex Market" target="_blank">Stop Run - Market Manipulation</a> - got accomplished there was "nothing" to hold back the Euro from rising upwards. The resistance of the recent low (blue line) and the 20 SMA (purple line) got respected and broken with the beginning of the new hourly candle (<a href="http://forex-chartanalysis.blogspot.com/p/breakout-trading.html#Breakout Trading" target="_blank">Breakout Timing</a>). For example market closed at the 20 SMA resistance with a strong candle and the EUR/USD broke through this resistance level with the beginning of the new hourly candle at 8 a.m. on the 1st October.</div><br />
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In general, the 200 SMA is often acting as support/ resistance and the 200 SMA shows the larger trend direction if the SMA, particularly when this Simple Moving Average is strongly sloping. Otherwise, the 200 SMA indicates a sideways range bounded market when the 200 SMA is more flat than sloping.<br />
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<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiRTGqvNbCZv4SyX13Zu8eHwat1j-KAOmo0bj_Ow385W3oGgLr-mPE2a0K6QgoiHcYAHi5lkPyOaWwf8U4AYBWVUGB9SODkLDM82jOAYavnpZ_pA-t83_OGbQmba-H7eF-0jkhMW4zCmxZ8/s1600/1h-EurUsd157.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="200 sma, bullish rejection candle" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiRTGqvNbCZv4SyX13Zu8eHwat1j-KAOmo0bj_Ow385W3oGgLr-mPE2a0K6QgoiHcYAHi5lkPyOaWwf8U4AYBWVUGB9SODkLDM82jOAYavnpZ_pA-t83_OGbQmba-H7eF-0jkhMW4zCmxZ8/s640/1h-EurUsd157.JPG" height="620" title="Eur/usd chart analysis" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>1 hour </b>200 SMA<b><br />
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</div>FxTraderhttp://www.blogger.com/profile/03884636782027160810noreply@blogger.com0tag:blogger.com,1999:blog-8607348999881618629.post-47772326653206464602012-08-31T20:15:00.001+01:002014-09-15T20:40:47.938+01:00Weekly Euro USD Analysis<div dir="ltr" style="text-align: left;" trbidi="on">
<h2 style="text-align: left;">
Price Reversal</h2>
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Triangle Consolidation</h3>
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<h4 style="text-align: left;">
The weekly EURUSD Chart</h4>
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shows the striking monthly low of January 2012. The Euro is currently trading at this striking low combined with the down sloping weekly 20 Simple Moving Average (SMA), which both is likely to act as resistance.<br />
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<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhqn7tFqB2mGPoCAEQyfWc-2hwj2L2XzrztQjWXes06UXwJYTCaqZL18cXxl4hyY90HIs-8KjyDb5QlTrWPl-dNSENSSj2t_Gz9zPQmMvujxNCor3vhuuaeEFFg14pViiAQaY6XHvmOI1T-/s1600/weekly-EURUSD6.JPG" style="margin-left: auto; margin-right: auto;"><img alt="Weekly Euro US Dollar Chart Analysis" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhqn7tFqB2mGPoCAEQyfWc-2hwj2L2XzrztQjWXes06UXwJYTCaqZL18cXxl4hyY90HIs-8KjyDb5QlTrWPl-dNSENSSj2t_Gz9zPQmMvujxNCor3vhuuaeEFFg14pViiAQaY6XHvmOI1T-/s320/weekly-EURUSD6.JPG" height="320" title="Weekly Euro US Dollar Chart Analysis" width="313" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>Weekly </b>EUR/USD Chart Analysis</td></tr>
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On the 1 hour chart we see the recent price breakout to the upside out of the large triangle consolidation pattern. The EUR/USD price moved up to the first butterfly sell target (127 %), which coincides with the daily R3 and monthly R1 Pivot Point resistance.<br />
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The confirmation of the butterfly pattern would implicate a larger price reversal below the recent triangle consolidation pattern. Thus, the prior market price breakout through the upside would get completely reversed - failed breakout. The price target of the butterfly sell chart pattern is normally the 161 % Fibonacci target - see popular chart patterns.<br />
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<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgxu2FfyxvO13ITIp_6O5MQ8w6VOvn48Xq6QDD3f8-MlupiSgNwjoQhGhh9Fbh13AMUmD6Y9zNPDi14_KHVL90m0dn0kSkI8d1RoWhgoAsHW0W247Hh3NwSJFb1uDOxJdDKKiH_ibPAd9m_/s1600/1h-EurUsd156.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="127 % butterfly target" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgxu2FfyxvO13ITIp_6O5MQ8w6VOvn48Xq6QDD3f8-MlupiSgNwjoQhGhh9Fbh13AMUmD6Y9zNPDi14_KHVL90m0dn0kSkI8d1RoWhgoAsHW0W247Hh3NwSJFb1uDOxJdDKKiH_ibPAd9m_/s640/1h-EurUsd156.JPG" height="292" title="127 % butterfly target" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>1 hour </b>Butterfly pattern, Triangle Breakout <b><br />
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The 5 min chart below shows the price reversal at the resistance level. The failed price breakout candles might be seen as a evening star pattern. After the initial price reversal market created a typical three wave consolidation pattern and later a small bear flag before the Euro continued the downtrend to catch the stop orders below the recent striking low - Stop Running. Often a small price retracement occurs after the penetration of an important chart level like the recent striking low to catch also some stops of the breakout traders. <br />
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<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEihmPpnAo6CEXP35xHDWXezDsE7B6vFUAB0zvlZOBtANCCrDccmDlErzf7I2w1EYYuAV8YJXg_h7Hxj00vXWmOxxgCVN_u1UKMQUYS7J7TYhUQlYHqsAUEXHCV7bIKwY9i68zObaUwGUCn-/s1600/5min-eurusd65.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="evening star pattern, stop fishing" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEihmPpnAo6CEXP35xHDWXezDsE7B6vFUAB0zvlZOBtANCCrDccmDlErzf7I2w1EYYuAV8YJXg_h7Hxj00vXWmOxxgCVN_u1UKMQUYS7J7TYhUQlYHqsAUEXHCV7bIKwY9i68zObaUwGUCn-/s640/5min-eurusd65.JPG" height="576" title="evening star pattern" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>5 min </b>False Breakouts<b><br />
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FxTraderhttp://www.blogger.com/profile/03884636782027160810noreply@blogger.com0tag:blogger.com,1999:blog-8607348999881618629.post-77422741954561914992012-08-22T20:13:00.000+01:002014-09-15T20:44:00.745+01:00Fibonacci and Pivot Analysis<div dir="ltr" style="text-align: left;" trbidi="on">
<h2>
Consolidation and Continuation Chart pattern</h2>
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<h3 style="text-align: left;">
Fibonacci Retracement and Extension</h3>
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The two green ellipses are consolidation pattern, which acted as continuation chart patterns - Flag and pennants. The consolidation price zone of the first Consolidation/ Continuation Chart pattern (green circle) acted as support as market price tested this price zone of 1.2460 again. This support zone got strengthened through the 61.80 % Fibonacci Extension level of the recent swing and the 61.80 % Fibonacci retracement level.<br />
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The Euro moved up to the price zone of the black circled Consolidation pattern, which looks similar to a small Head and Shoulders pattern (H&S). As often, the first retrace into a price zone of a prior consolidation held the first test and the EUR/USD moved strongly down again to the daily support level (pink line). The Euro consolidated for a while after hitting the daily support before the second strong leg down moved price to the Daily Pivot Support. From there, the EUR/USD bounced strongly up above the recent daily high to clear some stops and fool some breakout trader.<br />
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The failed first breakout often occurs due clear the stops and fool some breakout traders at striking chart levels like market highs and lows. This manipulative triggering of market orders is also visible on the further price action on the chart, whereby the weekly R2 held the market drop in the beginning of the US trading session.<br />
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<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhFQk-Z1q5zcx04kDd2oCV0EKQHP2QXFtlFLkmdtjbcERUcXtjio1Kobp_Cbtn_2hjRswvJDfeAbKrRhuHqBZ3P7AJR50PsYV9v7SD1C-UZhyphenhyphenoEadoW8e4gfucheF9q8y15LEneQIrxS8wI/s1600/5min-eurusd63.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="EURO USD Analysis" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhFQk-Z1q5zcx04kDd2oCV0EKQHP2QXFtlFLkmdtjbcERUcXtjio1Kobp_Cbtn_2hjRswvJDfeAbKrRhuHqBZ3P7AJR50PsYV9v7SD1C-UZhyphenhyphenoEadoW8e4gfucheF9q8y15LEneQIrxS8wI/s640/5min-eurusd63.JPG" height="548" title="EURO USD Analysis" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b style="font-size: medium; text-align: left;">5 min </b><span style="font-size: small; text-align: left;">EURO USD Pivot Points and Fibonacci</span></td></tr>
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FxTraderhttp://www.blogger.com/profile/03884636782027160810noreply@blogger.com0tag:blogger.com,1999:blog-8607348999881618629.post-92118359422529084682012-08-10T19:04:00.000+01:002014-09-15T20:47:26.937+01:00Butterfly buy pattern<div dir="ltr" style="text-align: left;" trbidi="on">
<h2 class="separator" style="clear: both;">
Fibonacci Price Targets</h2>
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<h3 class="separator" style="clear: both;">
161 % Fibonacci Extension target and 61.80 % Fibonacci <b><b>Retracement</b></b></h3>
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<h4>
Butterfly Buy Pattern on 5 min chart.</h4>
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On the 4 hour chart of the EUR/USD we see that market price found support at the 61.80 % Fibonacci retracement and the daily S1 Pivot. From there, the Euro moved up to the 4-hour 10 Simple Moving Average (SMA) and the daily and weekly Pivot point resistance, where price started to slightly retrace back.<br />
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<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEguE2DMnsCZ70BKg4xWoexVPVVk4Z793qursj3F5CuIUc_8-JOPMEMmGRdrjBRwo54nxOpO18sIAVJ3k18Ih8iFp_EtmPNUGPf1M05h5Vf-GxqCUTfNGyC4pQqfciwsqDd8F5io0aY_MmP9/s1600/4h-eurusd23.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="EURUSD chart analysis" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEguE2DMnsCZ70BKg4xWoexVPVVk4Z793qursj3F5CuIUc_8-JOPMEMmGRdrjBRwo54nxOpO18sIAVJ3k18Ih8iFp_EtmPNUGPf1M05h5Vf-GxqCUTfNGyC4pQqfciwsqDd8F5io0aY_MmP9/s640/4h-eurusd23.JPG" height="576" title="EURUSD chart analysis" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>4-hour </b>Fibonacci Retracement<b><br />
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The 5 min Euro Chart below shows the development of a Butterfly buy chart pattern, which led to the sharp price reversal visible on the 4-hour chart.<br />
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The large black circle shows the butterfly pattern -three wave consolidation-after an impulsive move. The Euro passed the minor/ first butterfly buy target at 127 % Fibonacci Extension of the consolidation pattern and market price moved further to the final 161 % Fibonacci level of the Butterfly buy pattern. From there, the Euro reversed sharply to the upside and market reached the 161 % Fibonacci Extension of the whole swing from the high of the consolidation pattern/ Butterfly pattern to the market low.<br />
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In addition, the 161 % Fibonacci Extension level at the market bottom, which usually acts as the buying opportunity in the butterfly buy chart pattern, also coincided with the 100 % Fibonacci Extension level (of the recent swing down prior to the consolidation pattern moved to the high of the consolidation pattern).<br />
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Furthermore, the final 161 % Butterfly target coincides with the weekly Pivot point. The daily Pivot point might have acted as further resistance zone.<br />
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<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhj-B6qLPIqekaMHHPFpuU8n1Dz3Ryv0VnCB8X6WLfsrw0TkE-gUJfwDoTLV0RIs5EwmiIG0zWsbt2c0WRTbWrof1gXRF7jr-rAoNdkmb-Qk9FjRPdLt7tpOlRnG3XhCdTQxts7hjQEZWYE/s1600/butterfly+buy+pattern.JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img alt="Butterfly buy pattern" border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhj-B6qLPIqekaMHHPFpuU8n1Dz3Ryv0VnCB8X6WLfsrw0TkE-gUJfwDoTLV0RIs5EwmiIG0zWsbt2c0WRTbWrof1gXRF7jr-rAoNdkmb-Qk9FjRPdLt7tpOlRnG3XhCdTQxts7hjQEZWYE/s640/butterfly+buy+pattern.JPG" height="586" title="Butterfly buy pattern" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;"><b>5 min</b> Butterfly buy pattern</td></tr>
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FxTraderhttp://www.blogger.com/profile/03884636782027160810noreply@blogger.com0