An interesting fact is that one of the most intense trading sessions for EURUSD in terms of market volatility occurs on the day the European Central Bank has its official Press Conference. 100 pips movements are very usual on these occasions, so it will be very important to know how to make the most of it and take advantage of that huge volatility. This is why I am going to take it from scratch and explain how to approach the ECB Press Conference and how to adapt your trading strategies.
In this article I will show you how to trade using a strategy which combines the candlestick patterns with the moving averages. For better understanding I would recommend you to read also:
In the articles above I have introduced the candlestick chart and motivated why it is one of the most used type of charts. I have explained how candlesticks are formed and which are the most important and frequently used patterns as well a strategy on how to use this type of patterns at key levels.
Let us talk a little about Moving Averages before getting to discuss about the trading strategy. A widely used indicator in technical analysis that helps smooth out price action by filtering out the “noise” from random price fluctuations. A moving average (noted MA) it is a trend following indicator, or also known as lagging indicator. It is one of the most known and used indicator among technical analysts and not only.
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