In this example using the USD/JPY and the three minute timeframe on the MT5 platform we deconstruct the bearish trend, and explain the importance of the candles which appear in the secondary reversals higher. These candles are key for several reasons. First, they help to signal clear and low risk entry positions if you are not already in the trend lower. Second and just as important they help you to maintain an exisiting position and hold this through the inevitable reversals and pullbacks which are part and parcel of any trend. In the downtrend they are hugely important and the candles are denoted with the deep wicks to the upper body, and sending a strong signal of further weakness to follow which is why they are so powerful, and even more so when more that one appear or they appear in groups with other candles. Volume of course also plays a part and this can be high or low. High volume signals heavy selling into weakness, whilst low volume signals lack of interest so the volume on these candles can be either high or average to low. It is the price action which is paramount in these areas of the chart and within the secondary trend reversal.

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