In a live broadcast, I found many beginners asking about simple things, so I decided to write simplified lessons for them, which may be basics for advanced users. Please share them with others, thank you:
Lesson 13
( Peaks and Troughs)
When the currency stabilizes and surpasses the initial days, entering its weeks and months, strong peaks and troughs will form.
Diving into its details is lengthy, but I will shorten it for you.
First: If you want to know the solid peaks and troughs, the best (that I found) is to discover them on a 4-hour frame.
Secondly: The peaks mean that the price has reached that level and found the number of sellers to be greater and stronger, causing the price to drop, and the struggle continues, but the advantage at that point is (for the sellers).
Thirdly: The troughs have more and stronger buyers than sellers, and any amount reaching those troughs is bought, forcing the price to rise.
Fourth: If you see a currency reaching the troughs (in a volatile market), buy it after it rebounds upwards for two candles, and you will profit from it, God willing.
Fourth: If the price of the currency you bought reaches the peak or below it, sell it (or raise the stop-loss).
Fifth: Take it as a habit: If you make a profit of 5-10%, be satisfied and sell. Because the rebound often occurs at the beginning of greed.
📌Questions:
Q: Even on a 4-hour frame.. why are there minor and major peaks?
A: Minor peaks are created by big speculators (whales) and major peaks are created by market momentum and its ebb and flow.
May God grant me and you from His vast grace.
