How to Avoid False Breakouts (My Secret Technique), Swing Trading
hello everybody welcome to my channel my name is arash in this video i'm going to talk about how to avoid false breakouts in financial markets i'm going to talk about a stop hunter pattern watch this video carefully until then because this video can help you to take the wise decision in financial markets and let's begin in my channel i upload a daily video about cryptocurrency market about tips and tricks in financial markets i recommend you to smash that subscribe button and turn on the notification of this channel because i'm going to have a daily live video about uh bitcoin technical analysis and altcoins so i recommend you to subscribe to my channel and let's begin in this video we are going to talk about how to avoid false breakouts okay for example up here when bitcoin was 64 000 too many people have entered by position okay you know too many people they they have they bought here all all the way up here because they doubt they are having a breakout okay but this is not a breakout why this isn't this is not a breakout because each area in financial markets has a time frame okay for example up here up here we have a potential resistance okay we can see this potential resistance area and one hour time frame if i move back in the time it's completely obvious that we are having a potential resistance area and one hour time frame we are having this potential resistance area and four-hour time frame too as you can see up here it's completely obvious that we have this resistance area here and daily time frame it's completely obvious as you can see here and weekly time frame it's still obvious that we are having a potential resistance area here on monthly time frame we can still see this resistance area so then we can see it on monthly time frame this area is for monthly time frame and if you are seeing any kind of breakouts on daily time frame this is going to be a false breakout this area has to have a breakout on monthly time frame if it if you see any kind of movement above this area on daily time frame it's just some sort of penetration okay and we might have downtrend after that okay so this area has to break out and monthly time frame each area has to break out on the time frame of the level for example if you have a daily time frame level the area has to have a breakout on daily time frame let me give you more example in order to be more clear for example let's go back on for our time frame we have this potential support area for bitcoin okay you know everybody is agree with me that we have a potential support area on this level a 40 000 area but we can see this area on four hour time frame we can see it on daily time frame too it's completely obvious let's check weekly time frame we can see it on weekly time frame too as you can see this uh support area this level is completely obvious on this time frame okay but if you check monthly timeframe you can't see anything okay uh if you check these candles you cannot see any kind of specific levels here so this level is for weekly time frame in order to have a breakout below this level we need one weekly candle below this level after that we can say that we are having a breakout for this level for example if we see any kind of four hour candle below this level it just might be a penetration okay and after that something like this might happen so in order to see a breakout uh below this level we need a breakout on weekly time frame and don't forget that the breakout candle has to be a long candle for example something like this something like this candle and also without the long shadow from the downside and when you are having a breakout from the upside you need a long candle without a long shadow from the upside as you can see these are signs of having some sort of penetration and don't be fooled with this setup if you don't pay enough attention to these tips you are going to make a huge loss in financial markets okay so when you are thinking about having some sort of breakouts you need to consider these tips and let me give you more example and after that i'm going to teach you a technique that can help you to make a huge amount of profit with only a small establish okay watch this video till the end because i'm going to teach you a really really great technique for example right now for euro dollar on one hour time frame we can see a massive resistance area somewhere around this level let me give you a live example of the market okay we are having a strong resistance area somewhere around this level and i think we are going to see some breakouts from this level in the future but on for our time frame we can i still see this level okay let's check daily time frame as you can see on daily time frame this level is completely obvious we are having a level somewhere around here but if you take a weekly time frame cannot see any kind of specific level around here so in order to have a breakout from this level we need a daily candle a big daily candle without a long shadow from the upside and after that we can say that we are having a breakout from this specific level but if we have one earth handle above this level we cannot enter by position if you do that you are going to make a huge loss for example if you enter by position and somewhere around here and say oh my god we are having a breakout you are going to make a huge loss because this is only a penetration okay and after that you are going to see lower levels so take care about uh these uh tips because if you don't you are going to make a huge loss but let's have a trading setup and i'm going to introduce you the best trading strategy of all time in this video in this trading strategy you are going to have a small stop loss with a huge take profit okay if you remember we have mentioned that for bitcoin we are having a potential resistance area up here okay and the time frame of this level is monthly okay we have a monthly level around 64 thousand dollars if we check daily time frame we can see something really really amazing for some moment we had some candles above this level as you can see here and here but after that we had a massive downtrend when you have this setup you can actually enter short position with a smaller sub loss but big take profit okay how can you do that when you have this setup and for some moment you move above a specific level or below a specific level you can actually trade in the opposite direction how can you do that for example when i have a monthly time frame level and price is moving up i'm going to check the price here and i'm going to check for example divergence and stuff like that and after that when price is moving up again and i have another rejection from this level i am thinking and considering some short position and after a small breakout after this breakout i myself i'm going to enter short position okay i'm going to sell and i'm going to wait for lower levels because this is going to be the stop hunter setup okay they are moving the price to the upside in order to hit the establish of short positions and they are forcing some people to enter by position because uh values and big money they they need to sell on higher levels and after that price will move down okay ordinary people are going to buy here because they can see the price above the previous all-time high but uh veils are selling on this level okay so when you see a double top or something like this above and a specific level you have to be really really cautious okay because it might be a stop hunter let me give you another example about this subhunter setup another example for xcu usc is going to be good yeah for example this example is going to be extraordinary we have a level somewhere around here okay we can see this level on daily time frame let's check weekly we can see it on weekly time frame two let's check mostly on monthly timeframe we cannot see anything special around this level okay so we have a weekly level and sometimes something like this is going to happen okay we had a comfort breakout this breakout was confirmed and i myself i'm going to enter by position okay after the scandal i'm going to enter by position and price will hit my stop loss but it doesn't matter because i'm going to tell you why so when we have a weekly breakout i'm going to enter for our time frame and i'm going to enter by position somewhere around here and i'm going to make a loss it doesn't matter why because when you are having a breakout from a specific level and price moves up and after that you are having it another sharp movement below the level after the pullback you can enter short position here i have a channel on my website and i have mentioned that this level is really really nice for entering short position this is a stop hunter setup okay and as you can see they they fooled traders because they wanted them to enter by position after the breakout but as you can see they move the price below this level again okay so when price is moving up this level is really really good in order to enter short position again as long as we are below this level we are short on xa usd and if we see the higher levels i myself i'm going to enter short position again why because here we had a level somewhere around this area as you can see this level was really really strong and for some moment we moved above this level but as you can see each time we are uh somewhere around this level we are going to see a rejection and i think we are going to see lower levels for xa usd why because uh with technical analysis view we had a low we had a higher low we had another higher low and right now we are having a lower low so if price moves up i'm going to enter a short position somewhere around here because i think we can see lower levels for xau usd this is my analysis about xa usd and i think we are going to see some lower levels okay this is the way you can actually use so if you had any kind of breakouts and pullbacks that they didn't work you can actually draw this level and if you have entered by position somewhere around here and you made a loss it doesn't matter because you are not going to win all the time you can actually enter short position here and make the profit okay this profit is going to cover the loss you have made here and you know it's going to give you some more profit too so it doesn't matter okay let's talk more about technical analysis and about false breakouts for example here on this level i can see a level around this area okay if you check you can see this level on one hour time frame it's completely obvious let's wait for the chart yeah it's completely obvious that we are having a potential level around here okay uh and one hour time frame let's check for our four hour time frame it's completely obvious on four hour time frame two let's check weekly so as you can see this level is obvious on daily time frame too and in order to uh draw a level you can use the shadow down here and the opening of the candle this area is potential support for xa usd and you know this is not a breakout on one hour time frame you know if you go on one hour time frame and if you uh check the level on the wrong time frame you are going to make a huge loss and as you can see after this candle i'm going to enter by position i'm not selling it as long as i don't see a daily candle below this level i am not going to enter short position i'm going to in the short position with only one situation after i see one big red daily candle below this level i'm going to introduce you but this candle on one hour timeframe is telling me i have to enter by acquisition with the establish down here and the take profit all living up here because uh with this setup my sub loss it will be set on one hour time frame and it's going to be really really small but my take profit is going to be on daily time frame because this level is for daily time frame and atr or average through range is really really big on daily time frame so i can make a huge amount of profit on this time frame okay so in order to make profit in financial markets you need to observe the chart really really carefully and you need to draw the level really carefully again because that's the only thing you need to do okay let's have more examples for example here on this level for x a usd we are having a potential support area okay if i move on to the weekly time frame you can see that this level is still obvious if we check mastery time frame we can i still see this level okay this level is for monthly time frame then you have a monthly time frame you shouldn't enter cell position or short position after this big red candle okay this area has to have a breakout and monthly time frame with a monthly handle you can not in their short position with some daily candles okay don't be fooled by the market and you know i myself i'm thinking of entering by position because we are somewhere around potential support area and don't forget that another golden tip in this video is going to be this one monthly and weekly levels they are not going to have a breakout really easily we are going to see several atoms in financial markets in order to have a breakout from monthly or weekly time frame levels so don't be fooled with lower time frames movement because most of them are going to be a penetration only so don't be fooled by uh market movement and i myself i'm going to enter by position and i think i did enter by position somewhere around here okay so that's the wisest thing you can actually do in financial market you can trade in the direction of this support area you can enter by position and you know don't just enter short position at the bottom of the market and the final thing that i want to talk about in this video is going to be something mind-blowing and this technique can help you to actually make a huge amount of profit i need some examples yeah right here i've i have found my example as you can see we have the potential resistance area for usd jpy somewhere around this level i'm using live example of the market but don't forget that this video and everything you see and here in this video is not a financial advice and i am not your financial advisor this video has been made with educational purposes and right here we have the potential resistance area for usd jpy this level is really strong and you can see a big red candle okay this level is for let's check weekly time frame is not for a weekly time frame let's check daily this level is for daily time frame and we are having a confident breakout it's okay but i'm not going to enter by position for some reason the first reason is going to be the master time frame if you check master timeframe you can see that we are having a potential resistance area here okay we are near a potential resistance area so when i have a daily breakout from this level i'm not going to enter by position why because we are near another resistance area big resistance area is here this level is going to work like a tank it's not going to let the price to pass really easily okay so i'm not going to enter by position and i am thinking of entering short position because we are below a monthly level and also if i see one big red candle below this level below this level i'm going to enter short positions after the pullback okay if we see one big red candle below this level we are going to see the pullback and after that we are going to face another bearish movement so take care about this setup because this setup is going to be really really important let me give you another example of this trading setup for example here i can see the level but this level is for lower time frames i think it's for a four hour time frame yeah it's completely obvious so we had the potential support on this area and we had the breakout and after the breakout we had the uptrend and as you can see we are having another pullback to this level i'm going to enter by position at this level because this level is stop huntered this is a stop hunter setup after the breakout from this level too many people are going to enter short position and they shouldn't do that why because the majority of market is moving up and you shouldn't enter short position with this uh breakout you should trade with the direction of the trend and if you don't do that you are going to make a huge loss and actually after the pullback you can enter another buy position somewhere around here okay so when you have a certain level and price move down or above that level and after that you are having another sharp movement when you see this setup you can enter buy or sell position in the pullback i'm going to uh draw this picture for you i recommend you to screenshot this drawing because it's going to help you to make profit in financial markets then we are having a breakout from this level too many people are going to enter by position somewhere around here and all of a sudden something like this happens after the pullback to this level you can enter short position this level is going to work once more and this level is going to work for a person okay there's a 80 percent probability that this level is going to work and also when you are having something like this a downtrend and you know a pullback and the breakout and after that you can see a sharpen bit after you see a sharp movement you can enter by position after the pullback to this level because you are having this top hunter pattern and you know too many people they have entered short position after the breakout of this level and when price is moving down they are going to exit the short position and exiting short position means they are buying okay and also some traders are buying on this level and that's the reason that can help the price to move up in the future that's everything you needed to know about software and resistance areas there are too many tips about it i recommend you to check my previous post in my youtube channel if you enjoyed my content give me some thumbs up and don't forget to subscribe to my channel don't forget that we are having daily live videos about cryptocurrency market about bitcoin technical analysis altcoin technical analysis i recommend you to jump in and see you later
2022-01-10 03:09
