A pure price action trading strategy that is actually very easy to spot and you will see it repeatedly happening over and over again on all the timeframes. When the setup is correct, it is formed before a big breakout
You look for a clear as day big W for a buy breakout and a clear as day big M for a sell breakout, usually after the M or the W has formed, there will be a slight resistance pullback and then it’ll shoot up/down
*if it’s a W, should have a downtrend come before it for higher success. If it’s an M, should have an uptrend come before the formation for higher success as the M and W are signals for reversal breakouts of the trend
*looking at all the timeframes it seems that these formations are a lot more clear on the weekly charts but definitely still spotted on lower timeframes
Read the article and let me know what you guys think.
I entered this trade last night on EURAUD and it was clear. as. day…probably going to take off my sl and tp and just let it ride since it’s on the weekly chart. I risked 10%. demo.
Below is how it looks with candles, you can see the bottoms of the W are very close to being the same height which is what you want and it formed after a previous downtrend, going to exit once it crosses over trend line
*noted I checked the daily and it is also in an uptrend
Here it is again on USDCHF, except there is an M for a sell formed after a previous uptrend, daily is also in a downtrend
Going to enter this on Sunday, hopefully not too late!
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These are also called double tops and bottoms and IMO can be pretty reliable chart patterns.
One reason I find them reliable is because the 2 tops act as resistance levels and the 2 bottoms act as support. Trade them in the direction of the trend and you’ll be right more than you’re wrong.
Also, as per your examples above, they’re pretty easy to spot using the line chart.
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well thats great to hear then! I’ve been looking for a really simple strategy that is low maintenance for monthsss lol hopefully this is a winner 
, i’ll update this post with how I do
I looked back on the weekly charts and it seems like this only happens about once or once every 2 years, will probably have to consider daily and 4hour as well
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Update, trading the weekly chart sucks lol So I started trading this strategy on the daily chart. I look at the atr and pretty much set my take profit for little less than half of it since I don’t actually want to be in a trade for a full day, just a few hours and I enter at the London Session so Daily candle has already started
Usually means I set my take profit for 40 pips and stop loss at 20 pips and am only in trades for an hour or two
I trade every pair that looks great and has atleast an atr of 100
also very important, I place these trades at 2:30am right about when London session begins and NO NEWS!!
did well last night, let’s see how profitable this strategy will be in the longterm!
if it proves itself, I will go live finally
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It’s certainly not for everyone, but it’s great for determining market direction.
Keep up the good work!
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