U.S. Dollar / Japanese YenEducation
how to trade the consolidations using the point of control !
when the price is consolidation , doing a limited up and down movement the price is actually rotating around a pivot line inside the consolidation zone that you will find it usually in the center . ( take a look at the attached image for better understanding) . The best way to think of this point of control is to imagine it as having gravity. It is attracting price inside the consolidation zone to it. It is exerting gravitational pull on all price inside the consolidation zone.
how to trade it : I've been testing this method for a long time now and the best and easiest way to trade it is to wait for price to break above or under the level of the point of control before placing buys or sells !
- if the price coming from the under trend of the consolidation zone breaks above the level of the point of control you place BUY and your target is somewhere near the upper trend of the consolidation zone .
- if the price coming from the upper trend of the consolidation zone breaks under the level of the point of control you place SELL and your target is somewhere near the under trend of the consolidation zone.
simple method but very efficient i highly suggest you to train your eyes on how to spot a consolidation zone , how to distinguish the point of control and to test some trades based of what I taught you now , you will be amazed of the results !
I hope the indications are clear , if you find the post of value please consider support it by dropping a like and a comment and make sure to follow me more educational posts are to be shared in the future , in the next post I will teach you my own method that I created and tested over the years to get very powerful levels using the Fibonacci tool !! so stay tuned !
how to trade it : I've been testing this method for a long time now and the best and easiest way to trade it is to wait for price to break above or under the level of the point of control before placing buys or sells !
- if the price coming from the under trend of the consolidation zone breaks above the level of the point of control you place BUY and your target is somewhere near the upper trend of the consolidation zone .
- if the price coming from the upper trend of the consolidation zone breaks under the level of the point of control you place SELL and your target is somewhere near the under trend of the consolidation zone.
simple method but very efficient i highly suggest you to train your eyes on how to spot a consolidation zone , how to distinguish the point of control and to test some trades based of what I taught you now , you will be amazed of the results !
I hope the indications are clear , if you find the post of value please consider support it by dropping a like and a comment and make sure to follow me more educational posts are to be shared in the future , in the next post I will teach you my own method that I created and tested over the years to get very powerful levels using the Fibonacci tool !! so stay tuned !
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.