TFx_Forex Update

How to spot breakout.

If price break support, the support will become new resistance, waiting for the price to come back to the zone, then we sell.

Hammer Candlestick Pattern

The hammer candlestick pattern is part of a duo that is probably one of the most taught and looked at candlestick patterns on the internet.

The reason behind this is that it’s a really easy pattern to spot and is equally as easy to trade.

The hammer pattern can be found at the bottom of a trend.

They usually give a signal when the downtrend has become exhausted – no more sellers in the market – and the buyers can come in and bring the price higher.

That is exactly what the hammer pattern portrays in the background (selling pressure dropping and buyers getting involved).

This can be seen because for a hammer pattern to form, the price must be taken much lower from open, creating a lower low but during the trading session, the buyers take advantage of the weakness and bring the price back up.

This is Bullish Engulfing

As you can see it is easy to identify, but the close of the latest candlestick must close higher than the previous open. Ideally, you want it to close higher than the high, to fully – consume – the previous candlestick.

The engulfing candlestick pattern can generate fantastic opportunities when timed right.

Quick Action Summary of The Bullish Engulfing Pattern:

Where is it usually found: At the end of a downtrend, but can appear at any point.

Number of candlesticks to complete pattern: 2

What type of signal is generated: Reversal

Strength of signal: Strong

Final Candlestick Color: Green (Or whatever you choose for bullish)

What it means in terms of buyers/sellers momentum: The current sellers have been non-existent and buyers have driven the price higher than the previous candlesticks high and open – thus more buyers in the market = higher prices.

UPs ARE MY WATCH LIST of currency pairs to be traded for this coming weeks

Is involved the following pairs
GBPJPY
XAUUSD
NZDJPY

the blackline will be your take profit areas
make sure the first leg touches the psychological level and the second leg touches the trendline and closes below the psychological level before you enter

the strategy is very easy and highly profitable
the only issue is people don't know where to put their TPs

Your TPs should be the closest support or resistance area
Thanks

Action Insight Daily Report 9-12-22
Yen Softens Again in Quiet Market, US CPI and UK Data in Focus This Week
Markets are generally steady in Asian session today. European majors are firming up slightly but there is no clear follow through buying so far. On the other hand, Yen is losing ground while commodity currencies are also soft. Dollar is mixed in the middle. Focuses are back to economic data this week, with particular attention on inflation data from the US, as well as a wave of data from the UK.
Technically, Yen might be ready to resume recent down trend. Break of 144.71 resistance in EUR/JPY will confirm resumption of recent rally. That could lead other Yen crosses higher. Corresponding break of 144.98 temporary top in USD/JPY would confirm the overall underlying momentum.
In Asia, at the time of writing, Nikkei is up 1.02%. Japan 10-year JGB yield is down -0.0002 at 0.251. Singapore Strait Times is up 0.33%. China and Hong Kong are on holiday.