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 |
24 May | Technical Observation Yesterday, our stop was taken out when the price hit the lows of 1.111000 but ended up closing above the upper trendline. As I stated on the previous trading day, following the bounce, we're now upwards, I'm expecting a possible rally to the upperside with my first take profit | Technical Observation GBPUSD is currently trading with an increasing bearish bias momentum. While the price is protected from violating the level 1.27413, I expect a drop towards 1.21509. On this chart, the key lines to look for include 1.32965, 1.27413, 1.21509 and 1.23695. Anytime the price appro | Technical Observation USDJPY is currently trading with an increasing bearish bias momentum. I expected a possible momentum towards 113.014, but as it appears, the USD is currently rallying to the lowerside. From the current chart structure and set up, on the weekly charts, I recommend looking for l |
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