Forex basics ( Evening analysis and live trades )

"I really don't like the way this trade is looking. But according to my plan, I cannot exit this trade until I'm either stopped out or take profit. So, I'm going to stick with this one and we'll see what happens throughout the rest of the week. Hopefully, we can get another impulsive move to the upside."

"If this is our brief consolidation, then what we would love to see is another big impulsive leg move down. We have our targets set up back at previous structure just in case that doesn't happen. And we have our stops set right above our previous resistance in case the market decides to come back up. So, we're protected either way. But what we expect is the market to push down even further than it already is."

"We have now broke below this low here. And if we can get below this one wick here, then our next stopping point is all the way down here. So, we could be looking at a pretty significant drop here on the dollar Swiss if this market can continue with the same momentum it has now."

"But hopefully, this market can push up a little further and hit our targets on this trade as well."

"And for those of you that trade advanced patterns, you can really take advantage of this on a lower time frame. Once you start seeing this kind of consolidation, you can jump down to a 15minute from the hourly. And you can see here where there are some really nice advanced patterns setting up. What I'm about to show you here is a technique called bracketing the market. If we look right here, you'll see that we have a Gartly pattern here on the 15minute chart coming in from X to A, A to B, B to C. CD completion down here at our 127."

"But also, we have another Gartly pattern setting up coming from this impulsive move here. Let's call that X down to A. Pull our extension from A to B. Back down in. And here, as you can see, we're setting up for another Gartly pattern. This time, bearish instead of bullish. And we're actually getting pretty close to filling this one."

"This butterfly pattern is going to come from X up to A, A down to B, B to C, and CD completion down there. And if you haven't been to my website yet to subscribe, there is a link in the description box below this video. You can go there and subscribe and you'll get a free butterfly pattern tutorial. Plus, like I was talking about in the beginning of this video, you'll be getting free detailed analysis of of a trade that I'm either in or plan to take. So, make sure you do that before the end of this video. If I pull my extension here, you'll see that our butterfly pattern ends right here on this 127."

"So, we know previously on the 1 hour chart, we've broken closed above our previous structure level, telling us that we should continue up. Since that's the case, now we can drop down to our 15-minute time frame. What do you notice here? Any kind of pattern formation that looks familiar? If we draw on some fibs here, we have a bat pattern coming in from X to A, A down to B, B up to C. And our D leg completion is going to be down here at the 886."

"But here on the pound dollar, this is what we'll be looking for in order to get involved tomorrow or this will probably be filled or either invalid by the time we wake up. But the great thing about patterns and the way I trade them is I can put on limit orders and I don't have to be awake for the completion of these patterns. So that's what we're looking for here on the pound dollar going into this evening, tomorrow, and the rest of the week."

"What we're expecting here is just a continuation of this downward trend. And we could possibly start putting in some consolidation here from the way this market looks. We did create a couple of little higher highs here on the 1 hour chart before dropping off. But as I said, overall, we are still looking for this market to go lower."

"If we begin to consolidate a little more than this, then I'll start looking for advanced patterns here."

"And if we stay in consolidation here on the higher time frame, 4 hour chart, then I will just continue to look for advanced patterns. And if we begin to break out of some of these levels, if we do something like this, then I'll be waiting for the brief period of consolidation and another impulse move. Brief period of consolidation and another impulsive move."

"So here, as you can see, we do have a 618 retracement. Once we have a 618 retracement, what do we start to look for? I know it's a bit early for this one, but we are looking for this market to give us some kind of gartly pattern here. I'll change the color of this one to red so you can tell that it's a different pattern. This is going to be a gartly pattern. And if I bring on my Fibonacci extension, you'll see that the Dleg of this pattern, if it does complete, will come in at the 127."

"Now, obviously, just as with the other pairs, if we continue to range, I'll be looking for advanced patterns. If we start to break out to the lower or the upper, then I'll look for the brief periods of consolidation, the drop, obviously 786 retracement, the drop, brief period of consolidation, an impulsive move down. So, if we start to trend, I have a plan. If we continue to consolidate, I have a plan."