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 On the chart above, price is trading with an increasing bullish bias above the supportive zone 1.0410-1.0367 and as long as it is sustained above this zone, I expect a continuation of this upwards movement towards the key level 1.1123. My advice, remain flat and wait for a co
Technical observation Just like EUR, GBP is trading with an increasing bullish momentum above the supportive zone 1.1690-1.1623 and I expect either a continuation of this upwards movement to the level 1.2650 or a loss of it followed by a correction to the zone indicated above. If there is a rally
Technical observation Since it bounced within the zone 139.08-138.25, USD has been trading with an increasing bearish bias and I expect it to plummet further to the lower side. In case you are currently holding short positions with the pair above, my advice is, remain in the trade with your take p