We are talking about the most important topic in forex trading technical analysis. Every Trader should know how to do Trend analysis in a correct way.
ABC of technical analysis is “Always trade with Trend”. It means we have to apply our strategy in the direction of the trend and we should avoid moves against trend.
In this article we will do trend analysis on EURJPY. we will do EURJPY forecast on weekly timeframe. EURJPY is making Lower lows and lower highs from 2018. Last high was in the month of march. Price has made four Lower lows and Three lower highs and now in the month of June 2019 price has break last lower high. It means price is looking for a reversal. Down move is about to end.
Price has broken trendline with a long bullish candle and in this week it will make inside bar probably then our main focus will to look for inside bar and after UP inside bar breakout we will place trade in long.
This is very simple. we just did trend analysis first to trade with banks and then we watch for trendline breakout and then our focus is inside bar, a more confirmation.
Now you will be able to do trend analysis in every setup or strategy before placing order. Don’t forget to do trend analysis every-time before placing a trade.
Simple But Effective Technique
Note: All the viewpoints here are according to the rules of technical analysis. we are not responsible for any type of loss in forex trading.