Stop Hit Pattern | Live Forex Trade | EURAUD | 4 Hour Chart

By | February 6, 2016

See attached video – This video was originally posted on July 3, 2014.  A two candle entry signal formed completing this stop hit pattern at resistance. First a bounce forms thereby creating an area of opportunity for large amounts of orders to be generated. When the price returns to that level the buyers and sellers alike are placing their orders in high concentration. The entry comes on a pullback of the engulfing signal that takes out two candles and closes beneath the breakout level. Additionally, this is a perfect example of prior support becoming resistance. Look to the left and you will see the former support level that was broken which is now acting as resistance.

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