PRICE ACTION AND TREND CHANGE
Hello Everybody. My purpose with this thread would be to remember once more that there's no more accurate indior than the same PRICE ACTION.
There are patterns of candles like double-roof, triple-roof, shoulder-head along with other more which help identify a portion of the current trend and the beginning of a new fad.
It is clear that to find a trend change, the current price chart has to be fad, otherwise there would be a change in trend.
For this kind of analysis we will only work with support and resistance lines and trend lines.
Running occasions: All of deadlines. Particularly I utilize high deadlines (day), for my work agenda in Colombia.
Bullish trend: It is understood that the price is in uptrend, when the maxima which are being formed are higher than the previous maximum, just as the new minima are higher than the previous minimum.
Sales Operations:
1. There is depletion of the bullish wave; This is revealed when the price goes back and in the endeavor to keep moving up, the price doesn't exceed the last highest candle and might be forming the double ceiling pattern.
2. Breakdown of the last support: It is shown when the price when not breaking the previous resistance, it recovers and breaks the previous support, reason why it is forming signs of change of tendency.
3. Breaking the trend line: When the price will not step two, it normally reaches to break the trend lineup, and is anticipated to alter the trend.
4. Outstanding Entry: This happens when the price breaks the previous line of trend and support, it is forecast to close the candle and start the sale operation at the beginning of the next candle.
5. Moderate entry: This occurs when the price breaks the previous support along with the bullish trend line, It is forecast to return towards the resistance zone before support zone, and when the price shows the very first bear candle, one passes In the sale operation.
Purchase Operations: the contrary of those Sale operations.
I hope that people who work in this kind of trade, contribute by leading knowledge to enhance the proportion of benefits, which as we all know, needs a good analysis before going into the market.
Excuse my bad English, for not being my mother tongue. As a picture says more than a million words, I enclose one of the latest sales transactions made, in a day time frame.