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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

05 - 09 December	weekly forecast 05 - 09 December Weekly Review. S&P500, oil, gold Monthly chart: in November index showed a significant bullish momentum, but it could be a sign of a reversal, too. ADX did not respond in any way to this breakout, so now it is useless to wait that price will get higher than upper Bollinger band (2235.9). We are waiting for consolidation between thi More
2016	EURUSD	GBPUSD	USDJPY
09 December	Find downward entry points Daily chart: it seems that there is shaping an extending triangle, however, in general, downtrend remains. So wait for a descent towards lower Bollinger band (1.0489) Н4: there is upward correction after breakout of lower Bollinger envelope. Resistance level is 1.0714 (middle Bollinger band). Here More	Drop to 1.2519 and shift back to 1.26 Daily chart: bears got down to business, so if support level 1.2519 (middle Bollinger band) will fall, bears would go towards lower band (1.2324). Considering quite passive ADX, all the interesting stuff appears to be postponed till the next week. Н4: Within this frame we see that 1.2519 level unli More	Set buying signals for next week Daily chart: the pair defenetely wants to take over 116.50 point (upper Bollinger band) - a false downward breakout of bullish inside bar occured yestersay, this is, as a rule, strong signal to buy. However, the pair is unlikely to go one way because it's overbought and ADX is falling despite the fa More
08 December	Bullish traps are possible	There are trading levels for both buying and selling	Bears, on mark!
07 December	Where would market go after yesterday's bear inside bar?	Consider resistance level as an entry point	Pair's goal is 116 number
06 December	Correction	Bulls' advantage	Yen is still on the verge of reversal
05 December	Monday's preview	Two possible Monday scenarios	Reaching downward reversal

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Forex Technical Analysis: Trend potential

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