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Trading Technology · 03 fall and high and consolidation fall

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

Strategy: Be careful to sell, medium positions to sell, tight stops, finish position intra day, can leave part of positions as long positions seed to expand profits.

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 long-terms traders wait-and-see, so appears consolidating.

3) It might be a good news, let long-terms traders wait-and-see, so appears consolidating.

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

Warning:

The "consolidation rising" is often limited, tight stops, finish position intra day, can leave part of positions as long positions seed to expand profits.

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 little.

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 bit lots.