Perception Vs. Deception: USDOLLAR-FXCM

At times what is seen and reflected onscreen from candlestick bar formation are quite deceiving. And provide some premature / false signals especially during major Trend markets such as the US Dollar in this typical set-up.

As we have indicted in our previous market view analysis; that the makings of a bull trap can be identified whenever a market squeeze occurs. Price action moves in both directions giving at least two contrary outlooks that would confuse both market participants if not careful enough with their trades. The two candlestick bar formation as shown on this figure chart reflects as "Dark Cloud" bearish signal provided just that. Prices thereafter resumed higher setting newer prices heading North of the chart. There are times during uncertainty that this occurs. Stick with the Major Trend as this is typical of a sentiment based market rather than a technically driven one. Click to continue