DRFX FOREX SWING TRADING

Despite the strength of the Bull Candle Breakout Signal on the Daily Chart of this pair, the weakness of the Consolidation Candles meant that a Bearish Reversal instead of a rally was the more likely outcome to be expected in the days ahead. As you will see in the video and the analysis below, I expected this reversal to take place and warned that opening Long Positions at that time would have been very risky - a prediction that proved to be spot on the next day and which also saved me and other DRFX Subscribers from large trading losses. VIDEO ANALYSIS OF CAD CHF REVERSAL FORECAST ________________________________________________________________ The Daily Chart had created a Small Consolidation Setup that formed the ABC Setup, which was  then broken by the Bullish Candlestick Signal. This would have tempted many to start trading long given the strength of this Candle but - as seen here -I warned that the weak candles within the Consolidation made...

In just a few days, we are likely to see this pair rally to complete the formation of a Range Setup on the Daily Chart, with the popular Bull Crown Consolidation Pattern. As you can see from the chart below, the pair has been moving sideways over the last few weeks. Based on these patterns, it looks very likely that a Range Setup is gradually taking shape... What will be needed for the pair to complete the setup is for a rally that takes back to Resistance within the next several days. Based on the patterns formed recently, it appears that the Signal to get things going would be a Bull Crown Pattern, also known as an Inverted Head & Shoulders Pattern. The Chart below shows that what is needed is a Bull Candle that would complete the Right Tip and complement the Left and Centre Tips already formed. Once this is done, we would then have to assess the Bull Candle itself and the patterns on the 4 H...

Over the next few days, we are likely to see this pair continue the current Bearish Reversal that has surprised many Bullish Traders over the last 24 Hours. Even though the pair started to breakout above the Pennant Setup on the Daily Chart, the Bull Candles are now being taken out by a Sharp Bearish Candle.  Although we are still technically Bullish - the pair is above the Resistance and Uptrend Line- the size of the Bearish Candle indicates that a False Breakout Reversal is shaping up to be the more likely scenario in the days ahead. EURO AUD DAILY CHART ANALYSIS In analyzing this pair in the video, I use the steps outlined in the previous blog article that describes that describes how to use Japanese Candlestick Signals and Trend Lines ( https://drfxtrading.blogspot.com/2017/10/how-to-analyze-your-forex-charts-with_10.html ). These are much better at identifying market direction and reliable trading opportunities relative Statistical Indicators, espec...