Doji candle on the monthly DXY chart confirms hits strong price & volume based resistance

Doji candle on the monthly DXY chart confirms hits strong price & volume based resistance

by Anna Coulling Comment Closed
The Doji candle is often taken as a reversal signal which can happen but what this candle is really telling us is there during its formation the bulls and the bears were in a battle for control much like a tug of war but that at its completion there was no overall 'winner' giving rise to a lack of direction. This is why the candle is best described as a candle of 'indecision'. From a trading perspective, Doji candles can give rise to good two-way price action but more often can cause choppy and volatile trading conditions. Fortunately, the example we have on the monthly chart for the DXY had a really wide range - over 200 pips which explains why this week the price action has been more muted. Understanding candle patterns and blending them with the Quantum indicators can help to determine where the price is likely to pause and reverse. In this example, we have price-based support &...
Read More
Volume signal on the AUD/USD

Volume signal on the AUD/USD

by Anna Coulling Comment Closed
In falling markets one of the great signals we always look for as forex volume traders is the candle highlighted on the chart, and is often an excellent re-entry signal to any trend if you have missed an opportunity higher in the trend. And the signal is simple and clear. Price weakness as denoted with the deep wick to the upper body of the candle, but associated with high volume. The market has tried to rally on excellent volume, but closed lower on the day. Clearly the market makers are selling into weakness and therefore we can expect the trend lower to continue. You can join me in my free forex webclass where I explain this and other principles of volume price analysis which you can then apply to your own trading - join here http://bit.ly/3cB64cH...
Read More