This is a trend following analysis using a breakout entry formation that generally has the greatest results. This analysis is good for 4H trading, but can also be used on almost all time frames and on all pairs. Basically, this analysis is based on breakout and certain forms of reversals. The analysis seeks to highlight potential breakout setups that can result in higher reward. To ensure consistent successful trades, the trader should exercise some degree of patience and wait for the perfect set up to execute trades. There’re are several types of breakouts, I only focus on two types of breakouts, trend line breakout and double top/triple top/ bottom breakout. Even with the two, I only trade double top/ triple bottom breakout most of the times and trend line breakout at some other times. Double top/Triple top/ bottom breakout is more dependable and reliable than the other. Note, trend line breakout includes also breaks that occur out of various shapes such as wedges, channels, triangles, and all the other shapes part from rectangles. Below are the simple sketches of some of the breakout setups I’ll be focusing on.
2019 | EURUSD | GBPUSD | USDJPY |
27 December | Technical Observation EURUSD barely hit the daily low 1.10531 before pulling back to the upper side. We expect further retracement rally to the upper side but should not go beyond 50.0% fib level, If you're looking for a possible low risk trade, either sell a bounce from 1.11261 or wait for a clea | Technical Observation After a failed attempt to break below 1.29777, GBPUSD pulled back to the upper side and is now above 1.29777, This is not the best time to pick a buy on this pair, rather, we should wait for a pullback to the upper side especially towards the 50.0% fib level to pick a sell. I | Technical Observation According to the hourly chart attached, USDJPY just bounced off from a significant 1 hour resistance level 109.675. While the price is not able to clear my break above the daily high 109.706, I expect further momentum to the lower side, the current bearish rally could continu |
26 December | |||
24 December | |||
23 December |