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Trading is a high risk activity, protect your capital through the use of stop loss, making intelligent use of leverage and not investing more than you are willing to lose. The author of the post declines any responsibility for any losses incurred as a result of decisions made after reading this article. The information contained below is for informational purposes only. CFDs are complex instruments, therefore adequate knowledge is required before making any investment. Thank you for your kind attention!
The silver loses “altitude”…
Welcome to another episode of Forex Trendy, in which I’ll demonstrate the significance of levels in the Forex market and discuss a classic silver trade. But first, let’s talk about trading in volatile markets. During these times, many traders lose money, which is why I prefer trading with continuation patterns on trending markets.
In this video, I’ll show you a quick and easy method for identifying the best continuation patterns and picking profitable trades. To accomplish this, I use Forex Trendy, a reputable online trading software. This powerful tool scans 34 Forex pairs across all time frames, accommodating all trading styles, whether you’re a scalper, swing trader, or day trader. Forex Trendy not only provides high-quality signals, but it also employs a powerful algorithm to identify patterns that the human eye may miss.
However, it is important to note that Forex Trendy is not a magical tool that will make you rich overnight. To use the tool effectively day after day, consistent effort is required. It is an essential tool for every trader, assisting in the prevention of costly mistakes caused by haste, fatigue, and emotional decision-making.
Don’t forget to check out my website at https://forex-expert.net/ for more useful trading information.
Disclaimer: Trading involves significant risk, and you should never invest more than you can afford to lose. The information in this video is provided solely for educational purposes, and no trading decisions should be made solely on the basis of the content. The author of this video accepts no liability for any losses incurred as a result of decisions made after viewing the video. Past performance does not predict future outcomes.
Let’s take a look at a classic silver trade on the five-minute time frame. Understanding the significance of levels in the Forex market is critical, and I’ll go over this in depth. On this chart, we can see a breakout, which indicates a potentially profitable trade. Following the breakout, the price tested the 8411 level before retracing and retesting the psychological 50 level. Following this strong retest, a double bottom formed, resulting in an upward movement with the price reaching 38.25.
Moving on, let’s compare the Euro to the German mark. This trade emphasizes the importance of levels, as I mentioned earlier. The breakout at 37.71 was significant, but its proximity to the fifth level was critical. The price, as expected, tested the 8411 level before falling and retesting the psychological 50 level. Following this retest, the price began to rise, reaching 38.25. When making trading decisions, it’s critical to keep psychological levels like 50 and 0 in mind.
The Australian Dollar versus the Canadian Dollar is another intriguing trade. The 1964 breakout had a favorable setup. Although this breakout occurred near the 50 level, it provided an opportunity for scalping with the goal of reaching the 50 level. Higher time frame analysis is critical for determining potential price targets and gauging overall market sentiment. Following the breakout, the price retested the previous level at 1975 before falling to 1942.
Let us now look at the US Dollar versus the Turkish Lira. This trade is an excellent example of a textbook setup. The price repeatedly tested a zone near the psychological zero level, indicating a bullish trend. A bullish engulfing pattern eventually appeared, signaling a strong buy signal just before the breakout. Following this breakout, the price increased significantly to 15.11.
Moving on, we see a triangle signal breakout at 69.47 for the Australian Dollar. This breakout occurred near the 50 level, as in previous trades, indicating the possibility of multiple retests. After testing the trend line, the price rebounded as expected.
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