breakout has happened on both time frames but the ironical thing is that both of them are pointing to different directions. The trendline line breakout on the monthly chart is pointing upward while the trendline breakout in the weekly chart is pointing downwards.
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FOREX EUR/USD MONTHLY CHART |
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FOREX EUR/USD WEEKLY CHART |
Now, the signs both weekly and monthly chart has shown are both strong meaning the trend could go either way. Either up as the monthly chart has shown or down as the weekly chart has shown.
How to place trades
Now, we know the trend could go either way and the best way to trade this type of forex pattern is to hedge (placing a buy and sell trade at the same time).
Buy entry: 1.37571
Take profit: 1.48392
Stop Loss: 1.34728
Sell entry: 1.37571
Stop loss: 1.39947
Take profit:1.28095
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