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 rose towards the resistance level 1.0594 and it is currently trading below it with an increasing bullish bias. I expect a rally to this level followed by either a rejection at it or a clear break above it with a big green candle. My advice, if price
Technical observation GBP is trading with an increasing bullish bias slightly below the resistance level 1.2340 and I expect a continuation of this upwards movement to the same line followed by a possible rejection of price at it. My advice, remain neutral and wait for a rejection of price at 1.2
Technical observation USD pulled back to a resistance zone it established at 137.68-137.43 but it could not break above it, however, it bounced within this zone and since then it has been rallying with lower side. If you sold this pair within the zone indicated above, my advice is, remain in the t