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.
Technical observation EUR is trading below a resistance zone 1.2011-1.1965 with an increasing bullish bias, this bullish movement is a correction to the zone mentioned above and I expect a bounce within the same zone for a possible a rally to the supportive level 1.1632. My advice, remain flat te
Technical observation GBP is retracing to the supportive zone it established around 1.3729-1.3726. Currently rice is trading within the zone mentioned above with an increasing bearish bias; I expect a clear breakout below the same zone and a correction to it for a momentum to the lower side a reje
Technical observation USD did not rally to the upper as I had earlier expected, instead it broke below the zone 109.46-109.35 with a big red candle then retraced to it and is currently trading with an increasing bearish bias below the same zone. I expect this bearish rally to continue to the suppo