So, the conclusion is that BREAKOUT can only occur after the body candlestick closes past the previous highest or lowest price.
If we want to use the shadow as a BREAKOUT signal, we need to go to a lower timeframe until we find a candlestick that manages to close above the previous highest or lowest price.
This method is very risky because the smaller the timeframe used, the more risk of "false signal".
If we want to use the shadow as a BREAKOUT signal, we need to go to a lower timeframe until we find a candlestick that manages to close above the previous highest or lowest price.
This method is very risky because the smaller the timeframe used, the more risk of "false signal".
How to want to Mark Zone for Pair xxxUSD xxxJPY :
⚜ xxxUSD :
Must Mark On Body Candlestick U
⚜ xxxJPY :
Must Mark On Shadow Candlestick
⚜ xxxUSD :
Must Mark On Body Candlestick U
⚜ xxxJPY :
Must Mark On Shadow Candlestick
We have 3 Types of risk zone for entry breakout setup :
- High risk zone
- Mid risk zone
- Low risk zone
- High risk zone
- Mid risk zone
- Low risk zone