- Nov 22, 2014
- Reaction score
MOST FREQUENTLY OCCURRED PRICE PATTERNS IN FOREX TRADING
If you are a long term trader, then you should have a close eye on various price patterns that occur frequently at various timeframes. These patterns may yield huge and easy return with minimum risk. Let us have a look at some famous price patterns.
Head & Shoulder (H&S)
H&S is one of the most frequently occurred price patterns. It consists of four main parts that are:
The most important component is the neckline. Neckline is the lowest point between right and left shoulder as shown in following chart.
Traders tend to open sell positions when neckline is broken. Once neckline is broken, it then acts as critical resistance level. H&S pattern can also be in inverse shape as shown in following chart.
Read more at https://blog.fxopen.com/most-frequently-occurred-price-patterns-in-forex-trading/
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