Weakness = Up moves on decreasing volume & Down moves on increasing volume
Strength = Up moves on increasing volume & Down moves on decreasing volume
I usually try to take a look at the general background and get a feel on how weak or strong the currency pair is. When I have determined strength or weakness I will try to mark up confluent zones where sellers (if short) and buyers (if long) are going to jump in.
When price reaches my confluent level, I will look at the 5M chart to pinpoint entry.
Example will be given below, however, not on this chart as this is to old for me to find 5M data but I will give an example that is close enough.
I have not marked any green areas (strength) on this chart after our short entry point.
Strength = Up moves on increasing volume & Down moves on decreasing volume
I usually try to take a look at the general background and get a feel on how weak or strong the currency pair is. When I have determined strength or weakness I will try to mark up confluent zones where sellers (if short) and buyers (if long) are going to jump in.
When price reaches my confluent level, I will look at the 5M chart to pinpoint entry.
Example will be given below, however, not on this chart as this is to old for me to find 5M data but I will give an example that is close enough.
I have not marked any green areas (strength) on this chart after our short entry point.