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Trading Technology · 02 fall and high and consolidation rise

Market status:Market is in historic high zone, major trend is down, but daily trend is the consolidation of rose.

Strategy: Be careful to buy, light positions to buy, tight stops, finish position intra day, do not leave long positions!

Reason:

1) The short sellers may be take profit after callback and wait-and-see, so appears consolidating.

2) It might be a good data, let day traders to buy, so appears rising.

3) It might be a good news, let day traders to buy, so appears rising.

4) It might be the central bank intervention, let day traders to buy, so appears rising.

Warning:

The "consolidation rising" is often limited, tight stops, finish position intra day, do not leave long positions!

Why?

1) Currency spreads values, from "positive" to "negative".

2) Currency direction, from the "rise" trend began to "fall" trend, and the speed is "fast".

3) Currency zone, from the "rise" trend of history "high zone" change to the "fall" trend of history "high zone".

4) The currency trend is "falling", usually in the "high" zone of history, when the day trend also is "falling", the prices trend will fall a lots.

5) The currency trend is "falling", usually in the "high" zone of history, when the several days trend is little "rising" of consolidations, the prices trend will rise a littles.

6) The currency trend is "falling", usually in the "high" zone of history, when the several days trend is little "falling " of consolidations, the prices trend will fall a littles.