Fast charts doing something interesting
ADP data release caused a gap to open, typically the points identified by the opening and closing positions of the candles involved will then turn into a support and resistance at those levels, its also interesting that if the gap closes easily that this is a reversal signal (uncommon but high probability) the gap close trade between the S/R points is also high probability 90% trade
Obviously on the fast charts the significance is smaller an the effect doesn't last as long but the important thing to note is just the price behaviour around these points as it gives you quite a clearly defined Support and Resistance area the effect is best noted on the 4H and Daily gaps when they occur. EU gap a while back was a very good example...
all well and good... enjoy your evening and if you're working, trade safe.
GU M5
ADP data release caused a gap to open, typically the points identified by the opening and closing positions of the candles involved will then turn into a support and resistance at those levels, its also interesting that if the gap closes easily that this is a reversal signal (uncommon but high probability) the gap close trade between the S/R points is also high probability 90% trade
Obviously on the fast charts the significance is smaller an the effect doesn't last as long but the important thing to note is just the price behaviour around these points as it gives you quite a clearly defined Support and Resistance area the effect is best noted on the 4H and Daily gaps when they occur. EU gap a while back was a very good example...
all well and good... enjoy your evening and if you're working, trade safe.
GU M5
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