TRADING TREND REVERSALS

Trade Details

We don't see the prior trading history here, but this is a trend reversal. The market traded lower, had broken the trendline already once, and now does so again at the area labeled "break out". Many traders would get in here, but then be faced with test of the low, before the market moves up. This is common and a break above the bull bar, two bars after the test, would be a good entry. Shortly after this we see a move higher and gap above the moving average indicating buying. This is followed by another test of the lower range and a strong bull bar closing well above the moving average, another good entry.