Thursday 28 May 2015

HOW TO READ FOREX PRICE TREND WITH TREND LINE

On this occasion I will try writing down how to Read forex price trend by using the trend line and also how to create a trend line line in the forex trade

The first step we have to prepare is we should be able to determine support and resistance points which would be as a point where we determine that we will pull the line so that it will form a trend line prices will be sent in a specific period, such as in an hour, in four hours a week or even a month, all that the key is we should be able to identify where the point of support and resistant it is.

The steps in the create a trends line

-Specify a minimum of two lowest point and a minimum of two highest point before the price will now be even better if you could determine this point more than two.
-Once you determine the point support and resistant then the next step is you have to draw a line from each

the point like the one in the example image above. If we look at the picture above, we can draw the conclusion that the price trend will go is DOWN at least in time frame and will likely Break out H4 in a level query BUY because there we see that there is a point of support

the first. And when the first ni impregnable support then chances are translucent to support both. Two horizontal red lines indicate the level above is resistant and two yellow line under the line is showing support.

Well as such clear already how to create line using trends line and how to read it so that you will be directional trading.

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