These are the rules I use before I enter a trade.
At channel highs/lows
1. Look for unusual (Black ) - This signifies big players have come in.
2. Wait for a retest of the high or a false breakup with low
3. Enter after a low/mid high spread bar closing on the lows if you are looking to sell.
Have just entered short looking to bottom of channel for profit taking.
about 30 more pips to my TP.
We had a bounce up before it hit our TP.
Price is now moving nicely in an ED channel.
This morning, it did a test of the top of the ED channel on very vol.
With low volume, price is unlikely to break above the ed channel.
Will remain bearish on EURJPY with targets still at 131.50.
Might re-enter when price reaches top of channel later in the week.