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Forex Technical Analysis: Trend potential

Presented method is the method of technical analysis, which statistics of accuracy is within the range of 60-70%. It is based on three key indicators (Bollinger bands, ADX and RSI) as well as on price levels and price action signals. Analyst Alexey Panasenko is the method's author.

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Forex Technical Analysis: Trend potential

Forex technical analysis helps to answer the questions: How to interpret Forex rates? Buy? Sell? Close a trade? Take profit or let it run for some more time? Will it face reversal or go trhough correction? Accept a loss and “flip over” or wait for some more time? Finally, how to define Forex trend?” All these questions drive a trader (mainly beginning) crazy, if he does not know the answer. By the way, who will dare to claim to know the answer? Forex exchange rates are cruel towards one's self-confidence and arrogant manner.

Nevertheless, it is subject to regularities and daily techical analysis forex. There are plenty of strategies on Forex trend lines. We are not so much interested with the direction of fx rate along major lines (this is interesting too, though) as with the Potential of the Forex trend. The main purpose of our Forex technical analysis report named "Potential of Trend" is to find if current price goes through correction either we face a trend.

Example of Forex technical analysis

09 - 13 January	weekly forecast 09 - 13 January Weekly Review. S&P500, Brent, gold S&P500 Monthly review: index keeps looking for new highs while ADX reverses smoothly. It can cause both a new rapid upshift and reversal (if oscillator refuses to confirm new price high) Weekly chart: here ADX/RSI shows correction. Resistance level is focused on upper Bollinger band (2282. More
2017	EURUSD	GBPUSD	USDJPY
13 January	Drop to 1.0580 and later rise again Daily chart: bulls have broken strategically important upper Bollinger band (1.0632) and shaped reversal Over&Under pattern with upward entry point in 1.0350. One might expect downward reversal and a drop to the indicated area. Moreover, ADX is passive yet and is not supportive of buyers' intent More	Consider buying around 1.2106 Daily chart: the pair is trapped within lower Bollinger envelope range (1.2106-1.2313). Considering declining ADX one might expect this corridor to be preserved during the day. Н4: here we are observing bullish Over&Under pattern with upward entry point in 1.2106 (lower Bollinger band and rou More	Couple of Scenarios for Today Daily chart: confident break of lower Bollinger envelope indicates that bears ensured the pair's reversal to the downside. ADX, however, hasn't reached trend state yet, that's why there is still possibility of some correction towards middle Bollinger band (116.689) Н4: here we can see much more l More
12 January	Strong resistance range of 1.0608-1.0622	Flat day possible	Strong multidirectional signals
11 January	Earn 80 pips on decline	Two scenarios for today	Bullish O&U is still relevant
10 January	Technical correction to the downside	Consider selling towards 1.2070	Rise within bullish O&U
09 January	Consider selling at price rise	Bullish trap is possible	Decline to 115.25 - buying again

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Forex Technical Analysis: Trend potential

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