Food For Thought

Has anyone considered that observing a candle in the making, regularly reveals that the ‘open’ point determines the direction of that bar symbolising an opportunity for gain. I’ll explain further. On 30mins+ (and longer the better) I’ve noticed that even in a uptrend, a 1hr bar may ‘open’, go opposite to the trend maybe 2-5pips, then reverse and go back through the ‘open’ point/price and continue with the trend, totalling maybe 20 pips.You enter at the open as it comes back through it.If it doesn’t come back thru it the trend is significant.

In the example of a downtrend reversal a new bar opens and continues with the downtrend for perhaps a few pips (the more the better) but reverses, traces back through the open price and sails up into bullishness. In a strong trend you could remain in the trade at the next candle but a predetermined reversal amount as a stop or maybe the open price, must be used as an exit. If the candle moves BACK through the ‘open’, sentiment is changing. Some candles don’t reverse at all but open and trend strongly.

Candle by candle there is opportunity here and the longer the time frame the more pips are available. Somebody tell me this is technically flawed.