Eur usd daily time frame shows a bearish outside bar as highlighted in the chart above.Bearish outside bars are trend reversal bars.
This coincides with the fibonacci 61.8% level.If we wanted to play it with a little of risk, we can enter at the break of the price action bearish outside bar.
But we want to know why price is stalling and not making any major movement. Therefore i zoom down the time frame and saw the reason.
Eur Usd 30 min time frame
What we can do is also – play a breakout trade on both sides of the range.
The above is a brief analysis on the eur usd chart. I may place a pending order at the break of the price action bearish outside bar.
However, this is not a Class A trade as there is no major confluence level to confirm my entry.
This is only to highlight to you guys on price action – bearish outside bars.
Next Intermediate Article: Price action bars – bearish outside bar (part 2)