Ilya
Perhaps, when you get a chance, you would post a couple entry scenarios with some details and a nice pic......
Perhaps use something recent such as GBPJPY decline and outline criteria for stops and targets and 'everything'.... lol
I do not feel it fair to ask that you post a live trade, however, I would think it ok to ask you to outline some criteria on a recent activity....
(I am not one to want to see live trades called, but I do like to learn from criteria used by others.)
Have a great weekend.....!
dave
This chart shows what I use as criteria for an entry point
Attached Imageshttp://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14442&stc=1&d=1210330836
Eurusd
EURSD Heading North,...
Attached Imageshttp://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14545&stc=1&d=1210621534 http://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14546&stc=1&d=1210621590
Euraud
Looks like we've got a Bullish Reversal in EURAUD.... If you look at the longer term picture in this pair... It's been nothing but tug-a-war price action for years.... Big swings up and down... Why not some more ! http://www.learncurrencytrading.com/fxforum/images/smilies/smile.gif
Attached Imageshttp://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14559&stc=1&d=1210652535
Nzdusd
Check out the candles on the monthly chart of NZDUSD... If that's not a Bearish Setup... I don't Know what is ...
Attached Imageshttp://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14609&stc=1&d=1210777769
GBPJPY Bullish Set up
This is a bullish candle formation which has formed on the Weekly chart of GBPJPY... I believe we should see some upside near term..
Attached Imageshttp://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14751&stc=1&d=1211158020
Hammer Formed
Looking at the GBP/USD There is a Hammer which hit former resistance around the .9400 area. Looking for potential to rebound to the .9700 area?
How are others assessing this?
Attached Imageshttp://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14633&stc=1&d=1210802673
do not see significant changes in the underlying forces as yet. Then again, only the market is always right, so the most logical analysis can be invalidated by momentum and sentiment. My bias remains bearish for now, though I am watching prices carefully for the market to yield new evidence.
Hope that helps
IlyaAttached Imageshttp://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14825&stc=1&d=1211320760
Cable saw a wick low past 1.9416, but the double hammers on the daily chart right at channel support seem to suggest that we will in fact see an upside swing in the near term
Ilya
Attached Imageshttp://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14682&stc=1&d=1210889738
Ilya
Attached Imageshttp://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14547&stc=1&d=1210624208
Ilya
Attached Imageshttp://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14548&stc=1&d=1210624485
Ilya
Attached Imageshttp://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14562&stc=1&d=1210663180
Usdjpy
Here is A Daily chart of USDJPY, There is a medium term trend line which was broken not too long ago signalling upside potential in the pair.. However We Know the trend is down, Perhaps it is Better to hedge this pair for now, since we know that. Unless you would rather just take a chance on a counter trend position. The Choice Is Made By The Trader. We Can draw a trend line along the bottom of price and clone that line and then place it above the top of price action to define a channel for price to rise in to. We Are now Waiting For The Breach of The Lower Channel Line To confirm that the Corrective Price action is over and then Bears are clear to short http://www.learncurrencytrading.com/fxforum/images/smilies/wink.gif Until Then, Bulls Are In Control..
Attached Imageshttp://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14220&stc=1&d=1209790461
Gbpusd
Here we have a look at GBPUSD. As long as price can remain below the trend line drawn on the chart, it is likely that price will continue lower. Only a Breach Of The Trend Line indicates upside potential. Until Then Bears Are In Control.
Attached Imageshttp://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14238&stc=1&d=1209916763
Eurcad
Lets Have A Look At EURCAD.... This pair is in a bull run, we are currently just waiting for price to test the trend line. If The Trend Line Provides support then we buy http://www.learncurrencytrading.com/fxforum/images/smilies/wink.gif
Attached Imageshttp://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14243&stc=1&d=1209927440
EURCAD has peirced the up trend line warning us to have patience before taking on a long position.. We're about to close the Day in about 15 mins or so, and it looks like price is firmly rejecting the lows... It is a possability that the up trend line may need to be moved a little lower if price turns around and heads higher from here.. I have found this to be true many times in the past when a trend line is penetrated.. There can be some knee jerk price action.. Remain patient, if there is an opportunity, it will present itself http://www.learncurrencytrading.com/fxforum/images/smilies/wink.gif
Attached Imageshttp://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14378&stc=1&d=1210193555
Gbpjpy
Here is a look at GBPJPY... There are two trend lines in play here. The first one has been broken already giving way to corrective price action towards the second trend line. A Trend line can be drawn on the bottom side of current price and cloned to be placed above the price to give price a corrective channel to move up into.. Bulls are in control until We get a breach of the bottom corrective trend line (RED LINE)
There is a Bullish Engulfing Candle followed by a Harami after the down trend confirming a reversal in price.
Attached Imageshttp://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14247&stc=1&d=1209929952 http://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14248&stc=1&d=1209929959
Hi Ilya..
I've got a slightly different view for this pair. I'll be looking for a bounce off of support to buy.Attached Thumbnailshttp://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14373&stc=1&thumb=1&d=1210189082
GBPCHF daily
It appears the downward trendline has held for touch number 3. We also see a candle close below the trendline piercing candle, indicating downward strength.
Aaron
Attached Thumbnailshttp://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14389&stc=1&thumb=1&d=1210208502
Usdjpy
USDJPY is now under the short term Up Trend Line... And has created a reversal candle just under the weekly down trend line.. Price should rollover and continue lower from here...
Attached Imageshttp://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14486&stc=1&d=1210459983 http://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14487&stc=1&d=1210459991
Eur Aud
Looks like we're seeing a 3rd touch on the EUR AUD bullish trendline. Of course, i'll wait for the candle to close for confirmation thou....
Aaron
Attached Thumbnailshttp://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14458&stc=1&thumb=1&d=1210360621
Eurcad
I have been patiently waiting to see if EURCAD would find support at the up trend line for a buy, So far it has not... http://www.learncurrencytrading.com/fxforum/images/smilies/frown.gif
Watch out for a decline if we get on the other side of the up trend line...
Attached Imageshttp://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14607&stc=1&d=1210775424
[ 本帖最后由 hefeiddd 于 2008-5-21 18:16 编辑 ]
eurusd turning up
the 4 hour chart of eurusd shows divergence as well as a penetration of the down trend line, which should give way to bullish price action shortly.
Attached Imageshttp://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14515&stc=1&d=1210598499 http://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14516&stc=1&d=1210598506
USDJPY
nuther look.......
Attached Imageshttp://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14415&stc=1&d=1210285723
GBPUSD 240 minute
Ilya...... would you enter once the lower line is passed. or would you insist on waiting for a top?
Attached Imageshttp://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14453&stc=1&d=1210348401
AUDUSD
This pair is trading in a tightening range. the wedge is soon to be broken... hard to say what the direction will be
Attached Imageshttp://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14463&stc=1&d=1210378802
Yet another look at USDJPY.
IlyaAttached Imageshttp://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14563&stc=1&d=1210664967
Another perspective on the EURUSD, this time from a 4-hr chart.
Ilya
Attached Thumbnailshttp://www.learncurrencytrading.com/fxforum/attachment.php?attachmentid=14637&stc=1&thumb=1&d=1210808223
Bearish Reversal Candlestick PatternsBearish Reversal Patternshttp://www.fxwords.com/images/words/bearish-reversal-candlestick-pattern.jpg
Strong Bearish Reversal Patterns Moderate Bearish Reversal PatternsWeak Bearish Reversal PatternsOne of the most significant goals of technical analysis is to identify changes in direction of price action. Because candlesticks give visual insight into what the market is market psychology, one of the most useful aspects of candlestick analysis is its ability to suggest changes in the sentiment of the market, and reversals in trend. We call these candle formations Reversal Patterns.
Important to note is that with candlesticks a reversal pattern does not necessarily suggest a complete reversal in trend, but merely a change or pause in direction. That could mean anything from a slowdown in trend, sideways trading after an established trend, or a full turnaround following a reversal candle pattern.
Highly Reliable Bearish Reversal Patterns Abandoned Babyhttp://www.fxwords.com/images/words/bearish_abandoned_baby.jpgDark Cloud Cover http://www.fxwords.com/images/words/bearish_dark_cloud_cover.jpgEvening Doji Star http://www.fxwords.com/images/words/bearish_evening_doji_star.jpgEvening Star http://www.fxwords.com/images/words/bearish_evening_star.jpgThree Inside Down http://www.fxwords.com/images/words/bearish_three_inside_down.jpgThree Outside Down http://www.fxwords.com/images/words/bearish_three_outside_down.jpg
Moderate Reliability Bearish Reversal PatternsAdvance Block http://www.fxwords.com/images/words/bearish_advance_block.jpgBreakaway Candlestick http://www.fxwords.com/images/words/bearish_breakaway.jpgDeliberation http://www.fxwords.com/images/words/bearish_deliberation.jpgDownside Tasuki http://www.fxwords.com/images/words/bearish_downside_tasuki_gap.jpgDragonfly Doji http://www.fxwords.com/images/words/bearish_dragonfly_doji.jpgEngulfing http://www.fxwords.com/images/words/bearish_engulfing.jpgMeeting Lines http://www.fxwords.com/images/words/bearish_meeting_lines.jpgTri Stars http://www.fxwords.com/images/words/bearish_tri-stars.jpgGravestone Doji http://www.fxwords.com/images/words/bearish_gravestone_doji.jpgHanging Man http://www.fxwords.com/images/words/bearish_hanging_man.jpgMeeting Lines Non-Fx http://www.fxwords.com/images/words/bearish_meeting_lines.jpg
Weak Bearish Reversal PatternsBelt Hold http://www.fxwords.com/images/words/bearish_belt_hold.jpgHarami http://www.fxwords.com/images/words/bearish_harami.jpgShooting Star http://www.fxwords.com/images/words/bearish_shooting_star.jpgHarami Cross http://www.fxwords.com/images/words/bearish_harami_cross1.jpgTweezers Top http://www.fxwords.com/images/words/bearish_tweezer_top.jpg
Intro to Candlestick Tradinghttp://www.fxwords.com/images/words/candlestick.jpg Bearish Reversal Patterns
http://www.fxwords.com/images/words/bearish-reversal-candlestick-pattern.jpgContinuation Patternshttp://www.fxwords.com/images/words/continuation-candlestick-pattern.jpg Bullish Reversal Patternshttp://www.fxwords.com/images/words/bullish-reversal-candlestick-pattern.jpg
[ 本帖最后由 hefeiddd 于 2008-5-21 18:28 编辑 ]
Bullish Reversal Patternshttp://www.fxwords.com/images/words/bullish-reversal-candlestick-pattern.jpg
Strong Bullish Reversal Patterns Moderate Bullish Reversal PatternsWeak Bullish Reversal PatternsOne of the most significant goals of technical analysis is to identify changes in direction of price action. Because candlesticks give visual insight into what the market is market psychology, one of the most useful aspects of candlestick analysis is its ability to suggest changes in the sentiment of the market, and reversals in trend. We call these candle formations Reversal Patterns.
Important to note is that with candlesticks a reversal pattern does not necessarily suggest a complete reversal in trend, but merely a change or pause in direction. That could mean anything from a slowdown in trend, sideways trading after an established trend, or a full turnaround following a reversal candle pattern.
Highly Reliable Bullish Reversal Patterns Aabandoned Babyhttp://www.fxwords.com/images/words/bullish_abandoned_baby.jpgMorning Doji Star http://www.fxwords.com/images/words/bullish_morning_doji_star.jpgThree Inside Up http://www.fxwords.com/images/words/bullish_three_inside_up.jpgThree Outside Up http://www.fxwords.com/images/words/bullish_three_outside_up.jpgThree White Soldiers http://www.fxwords.com/images/words/bullish_three_white_soldiers.jpg
Moderate Reliability Bullish Reversal PatternsModerate Reliability Breakawayhttp://www.fxwords.com/images/words/bullish_breakaway.jpgDoji Star http://www.fxwords.com/images/words/bullish_doji_star.jpgDragonfly Doji http://www.fxwords.com/images/words/bullish_dragonfly_doji.jpgEngulfing http://www.fxwords.com/images/words/bullish_engulfing.jpgHammerhttp://www.fxwords.com/images/words/bullish_hammer.jpgLadder Bottom http://www.fxwords.com/images/words/bullish_ladder_bottom.jpgMorning Starhttp://www.fxwords.com/images/words/bullish_morning_star.jpgPiercing Line http://www.fxwords.com/images/words/bullish_piercing_line.jpgThree Stars In The South http://www.fxwords.com/images/words/bullish_three_stars_in_the_south.jpgTri Star http://www.fxwords.com/images/words/bullish_tri_star.jpg
Weak Bullish Reversal PatternsBelt Hold http://www.fxwords.com/images/words/bullish_belt_hold.jpgGravestone Doji http://www.fxwords.com/images/words/bullish_gravestone_doji.jpgInverted Hammer http://www.fxwords.com/images/words/bullish_inverted_hammer.jpgTweezers Bottom http://www.fxwords.com/images/words/bullish_tweezers_bottom.jpg
Continuation Candlestick Patterns Continuation Patternshttp://www.fxwords.com/images/words/continuation-candlestick-pattern.jpg
Bearish Continuation Patterns Bullish Continuation PatternsContinuation patterns suggest the market will maintain an established trend. Often the direction of the candlesticks themselves are in the opposite direction of trend in continuance. Continuation patterns help traders differentiate between a price action that is in full reversal and those merely taking a pause. Most traders will tell you there is a time to trade and a time to rest. The formation of continuation candlestick patterns imply consolidation, a time to rest and watch.
Bearish Continuation Patterns Falling Three Methods http://www.fxwords.com/images/words/bearish_falling_three_methods.jpgDownside Tasuki http://www.fxwords.com/images/words/bearish_downside_tasuki_gap.jpgThree Line Strike http://www.fxwords.com/images/words/bearish_three_line_strike.jpgSide By Side White Lines http://www.fxwords.com/images/words/bearish_side_by_side_white_lines.jpgIn-Neck http://www.fxwords.com/images/words/bearish_continuation_in_neck.jpgOn Neck
http://www.fxwords.com/images/words/bearish_continuation_on_neck.jpgThrusting http://www.fxwords.com/images/words/bearish_thrusting.jpg
Bullish Continuation Patterns Rising Three Methods http://www.fxwords.com/images/words/bullish_rising_three_methods.jpgThree Line Strike http://www.fxwords.com/images/words/bullish_three_line_strike.jpg
Hanging Man
• Direction: Bearish
• Type: Reversal
• Reliability: Moderate to Weak
http://www.fxwords.com/images/words/bearish_hanging_man.jpg
• In a uptrend a red or blue day occurs with a body in the upper part of the sessions range, a long lower wick, and little to no upper wick
• Analysts do not care of the small candle is red or blue
The Hanging Man formation indicates trend exhaustion, and suggests a bearish reversal. After a bullish rally the day opens with a significant sell-off, creating a long bottom wick. However, buyers are able to push prices back to the upper range, creating a short body.
The meaning of the candle is a bit ambiguous. Even though sellers brought the market to low lows, in the end buyers brought the close price back up near the market open price. Overall this candlestick serves as an early indication that buyers are losing control and bearish traders are gaining strength.
Since the signal alone is fairly weak, traders look for a number of characteristics to reinforce the bearish signal.
In ideal conditions traders want the wick length to be several times longer than the body of the candle. The longer the candle, the stronger sellers were able to drive price down and the stronger the bearish signal this candle provides.
Although above we state that most analysts do not care if the small candle is red or blue, traders will actually take a red candle to suggest a slightly stronger bearish signal. Sellers being unable to bring the close price below the open price suggest stronger bearish control.
The bearish Dragonfly Doji serves as a stronger sell signal than the Hanging Man pattern. Since a Dragonfly candle (where open and close are identical, but we see a low similar in length to the Hanging Man) reflects more uncertainly and lack of direction, candlestick analysts will usually take it as a stronger bear signal.
• Hammer vs Hanging Man.
Alone, Hammer and Hanging Man candles look identical. Their difference lies in what type of trend the candle follows. If the market had been trending up for a while the formation is a Hanging Man. In fact the name, Hanging Man, suggest price is hanging over a precipice, ready for a fall. Hammers follow a bearish trending market and its name suggests price has already been weighted down.
Although traders will usually wait for confirmation the next day, look for selling opportunities to come.
Bearish Harami
• Direction: Bearish
• Type: Reversal
• Reliability: Weak
http://www.fxwords.com/images/words/bearish_harami.jpg
• First day is long blue candle continuing an established uptrend.
• Day-two is a small candle or start whose range is within the first days body, above its midpoint.
Bearish Haramis are characterized by a long blue day followed by a small candle, also refers to as a star. The trading range of the star stays within the body of the previous days candle. The significance of this formation is quite clear, as price continues its uptrend it is halted by a bearish candle.
Bearish Haramis are very weak in signal strength though, since even in a strong bull trend it is very reasonable to see a sell-off that pulls price back down from highs. Longs paring off their exposure may cause this. Thus candlestick analysts will watch for bearish days to come, but probably not bet on them.
In non-FX markets gaps seen above that allow the star to occur deep within the body of the first days candle are typical. Such gaps are just not possible in Foreign Exchange Markets. Since the Forex Market version of this candle is more nuanced, traders pay attention to several details.
This formation is very similar to the Bearhish Engulfing formation, except that the Harami move does not trade below the previous candles body. Because Harami sellers are not able to drive price much past the previous days midpoint, this patterns offers a weaker signal.
In range bound markets this formation will occur frequently with little significance. But if this pattern occurs after a protracted uptrend, analysts will attach greater importance to it.
Lastly if this does turn out to be a reversal pattern the high of the two candles will likely turn into a significant resistance level.
Bearish Harami Cross & Notes on Bearish Harami
• Direction: Bearish
• Type: Reversal
• Reliability: Weak
http://www.fxwords.com/images/words/bearish_harami_cross1.jpg
• First day is long blue candle continuing an established trend.
• Day-two is a small candle completely within the range of the first day's body.
This first possible version of this formation is characterized by a long blue day followed by a doji cross that falls within the body of the previous day's candle. Up to this point the formation matches the bearish Doji Star (see above). The doji illustrates a light day of trading where the open and the close are at the same price. A day of uncertainty after a large bullish move suggests bulls may have lost control of the market. Candlestick analysts will watch for bearish moves in the following days.
In non-FX markets gaps that allow the doji to occur deep within the body of the first day's candle are typical - But such gaps are just not possible in Foreign Exchange Markets. Because the close of the first day would match the open of the second day, in the Forex Market this formation should look more like a Hanging Man candle (see below).
http://www.fxwords.com/images/words/bearish_harami_cross2.jpg
Since the Forex Market version of this candle is more nuanced, traders pay attention to several details.
Bearish Harami Cross turns into simply Bearish Harami
Translating non-FX markets into Foreign Exchange requires getting rid of any gaps between candles. No matter what market we are looking at, FX, Equity and Futures markets typically close at 5:00pm. Thus the FX version of this formation should have a small red candle that trades down within the body of the previous bull move.
Bearish Doji Cross http://www.fxwords.com/images/words/bearish_harami_cross1.jpgBearish Harami Cross in FX http://www.fxwords.com/images/words/bearish_harami_cross2.jpgBearish Harami in FX http://www.fxwords.com/images/words/bearish_harami.jpgBearish Engulfing http://www.fxwords.com/images/words/bearish_engulfing.jpg
This formation is very similar to the Bearish Engulfing formation, except that the move does not trade below the blue candle's body. Because Harami sellers are not able to drive price down more than in the Bearish Engulfing formation, this patterns offers a weaker signal.
In range bound markets this patterns occurs far more frequently with little significance. But if this formation occurs after a protracted bull move analysts will put attach greater significance to it.
Continuation PatternsDirection : Bearish
Type : Continuation
Reliability : Moderate
• First day we'd see a long red candle
• The second day is blue day, opening below the low of the first day and closing barely into the body of the first day.
In Neck http://www.fxwords.com/images/words/bearish_continuation_in_neck.jpgOn Neckhttp://www.fxwords.com/images/words/bearish_continuation_on_neck.jpg
In non-FX markets the In Neck starts with the red continuation candle, day two gaps down to open well below the close of day one - then rallies back up to day-one's close. In Neck suggests that the despite the large bullish move by the blue star on day-two - when the market moves deeply down, only to rally back it, the market is still continuing the downtrend and capable of additional bear moves in days to come.
The On Neck suggests very similar analysis of market sentiment. But because the On Neck does not trade up to the previous day's close or into day-one's candle, it serves as a strong bearish continuation signal.
Trusting Patterns (which look similar to Bearish Piercing Lines) again offers similar analysis. But because the Trusting pattern trade well into day-one's candle, it is the weakest bearish continuation signal.
Bearish Shooting Star
• Direction: Bearish
• Type: Reversal
• Reliability: Weak
http://www.fxwords.com/images/words/bearish_shooting_star.jpg
• In an uptrend, the first day is a long blue candle continuing the established bull trend.
• The second day is a candle (red or blue) with a real body at the lower end, a long upper wick and no (or almost no) lower wick.
Occurring in an uptrend the Shooting Star formation is indicative of a bearish change of momentum. Shooting Stars show that traders have tested the highs and settle the day near the open and low price. This suggests the rally is unsustainable and sellers are retaking the market. Although this pattern is fairly weak, for those traders with existing longs in the market the Bearish Shooting Star serves as a signal for the deteriorating strength of their position.
• Confirmation
Many traders will wait for a bearish move on the third day, forming a formation similar to the Evening Star three-candle pattern. If day three is a long red candle, that pattern combined with the shooting star is a very strong reversal signal.
Bearish Side by Side White Lines (non-fx)
http://www.fxwords.com/images/words/bearish_side_by_side_white_lines.jpg
• Direction: Bearish
• Type: Continuation
• Reliability: Moderate
• Day-one is a red day continuing an established downward trend.
• Day-two is a blue day, which opens well below the previous days close
• Day-three is a blue day with comparable body size and the same close price as the previous day
The occurrence of the two blue days in a downtrend is indicative of sellers covering their positions. The formation is a continuation indicator, signaling that the trend should remain bearish in the near future.
PsychologySeeing two Bull candles in the middle of a down trend will usually make traders think twice about shorting here. But this formation tells candlestick analysts that despite the recent rallies, bears are still in firm control of the market
Day-one in this case offers the market benchmarks that need to be broken for a reversal signal to be set. Since the rallies on day-two and three cannot break the body of day-one, analysts know buyers do not really have control of the market. If anything the recent buy-backs potentially offer good entries for short positions.
ConfirmationIdeally the wicks on day-two and three should not trade up to the body of the first red candle.
In non-FX markets the gaps required for this formation will not occur. But the same price action is in fact seen from time to time. Between day-one close and day-two open there is a gap reflecting a sell-off while the exchange was closed. Because the Foreign Exchange market offers 24 hour access, FX traders would still be able to take advantage of this move, with the close on day-one equal to the open on day two.
http://www.fxwords.com/images/words/bearish_side_by_side_white_lines_fx_vs_equities.jpg
Forex Charts of the same move in price action would not appear as two blue candles one right next to each other, but rather two Hammers or Gravestones. So long as the rallies do not encroach into the body of day-ones red candle, this FX formation suggests sellers are still in control of the market.