Monday, March 9, 2009

Mysterious phenomenon of the market


Cases that seem insignificant to us, sometimes pose a hidden meaning.
Alexander M. Mazurkevich

Interestingly you ever tried to find a situation that would occur from time to time and, among other things, helped to identify good practices from the entrance or exit the market.
In this article I would like to talk about one interesting phenomenon in the market, which has been studied by me for a long period of time. An interesting fact is that there is a sequence of elements, which can inform traders that the time had come to buy or sell the currency pair. Such a sequence I call "lesenkoy. Why I gave this a name, this unusual phenomenon. To describe such an interesting phenomenon seems to be very challenging, because to detect the true movement of prices, which on its trajectory forms a kind of lesenku to be difficult. I do try to describe this phenomenon, using graphical methods to be able to visually assess some of the options described by the methods of market behavior.

Please note the picture number one. By the numbers one and two, bounded by two red lines, are two descending trend. Typically, these trends are observed after the withdrawal of any economic data that is not because of advertising metrics data, and after some period of time. So once the trend is played to move or climb begins the process of closing the position, which is opposite to the motion response. After that, the market is previously published data, and thus sets the mood for further movement. But then very often there is a time when starting to take shape "lesenki. I called them lesenkami, because if you look at them when they are just beginning to emerge very clearly shows that they represent a small staircase, and each individual candle plays the role of individual steps that lesenki.

It has been a very interesting phenomenon, and after a long analysis used in the work. When forming such lesenki need to be extremely careful, as this is a signal that in the short time during the 4-10 hour may be a sharp price movement in the direction of price trend. That is, if you look at Figure 1 you will notice that in our case the formation of two lesenok number one and two on different days, but it is possible to obtain a continued downward movement in the two cases. Therefore, if you prefer, you can try to make financial transactions and generate revenue at the time of formation lesenki. The main feature is just to have time to withdraw from the trend at the moment of recoil. Downward movement, a sort of formed after the formation of steps can dramatically turn and no one knows why. Of course, if ????? atmosphere is conducive to the further movement of the market, ie in Figure 1 Movement No. 2. Then, stand the longer period of time, you can get more profit, but again
this is very risky.

Work at these sites market poses some risks, so in advance I would like to warn you. If you are working in the market, find the formation of such a figure, be very careful and cautious when choosing the tactics and methods of trade. The first thing should be made to wait at least three steps, then we can assume that the formation lesenki is a strong character. Just as soon as you decide to start work in the direction of a given trend lesenkoy, Council to review the trade down or bottom-up channel, in order to select the successful entry point into the market. Very strongly advise purchased at the border of the channel, as this will not only protect themselves in case of error, but also to return the amount lost through turning warrant. In the case of a successful extension of the trend, you can make decisions in two ways, or move to put a stop to continue to wait or just sold. Everything depends on the fundamental factors in the market.

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