A classical example of a big shadow.
Two candle stick formation at an extreme low.
Big shadow candle has a greater range than the previous 10 candles.
Place a buy stop above the the high of the shadow, sl a few pips below the shadow & tp some few pips below the next zone.
Price has dropped to a support zone and formed a bullish kangaroo tail on the zone. To be on the safe side, a buy stop is placed a few pips above the kangaroo tail & a stop loss a few pips below the kangaroo tail. Why?
Kangaroo tails signify exhaution of price or price has gone too far. If price is going up it will trigger the buy order and will never trigger...
Nothing special. Just a clean chart with support & resistance zone identified at intraday levels. Its all about patience and waiting for buy/sell signals. Single candle candle signals include a big shadow, kangsroo tail pr even the last kiss
Price has been in an uptrend whole week. At the tym of writing,price had just broken a resistance zone Came back down to retest the zone and printed a bullish big shadow headed for the next zone above. We place buy stops above the big shadow and stop loss a few pips below the big shadow and wait.
Price has broken a zone to the upside. Returned back to retest the same zone to turn it to a support zone. On the other hand a strong bullish big shadow formed too.
We place a stop loss just a few pips below the big shadow.
Price is in a zone. A bullish kangaroo tail prints to give buy signals to the eurusd traders. But hold on, wait a minute..the next day a bearish indecision candle prints. What do you do? We could interpret the market in 2 ways;
1. The bearish indecision candle could be creating support to strart a bullish trend.
2. A downward trend is jst starting..
Classical example of a failed reversal. Price breaks out to the upside bt then reverses back in to the consolidation box in more than 50% of the box. This will call for an emergency stop loss. Then you wait.