The High and Low Points of the Forex Market

The big opportunities that you are going to see come up in the marketplace and believe me, if you get nothing else out of the course itself, this is going to be it for the Forex market. The easiest way to tell where the opportunity is looking at where’s the weekly high and where’s the weekly low.

Once you have seen those two points, you know where the opportunity is and that spells literally, money. You are going to know where the big money players are going. Are they thinking down or are they thinking up? So what does that mean specifically? Well what that means very specifically here for the British pound.

What you can see by looking at weekly highs and weekly lows is whether or not the big money players are bullish or whether they’re bearish. I will give you the punch line here. The punch line is, this two dollar level right here is where the opportunity lies. I want you to think about this and I right at the edge of this twenty minutes so I am going to have to go quick with this explanation.

The last time the British was up at two dollars was 1992 and it didn’t spend a whole lot of time above it. It’s going to take a huge shift in thinking to make the British pound push above two dollars and stay there. If you go back even further; you have to go back to 1978 to see the British pound above two dollars for any length of time. We have some major decision making here.

Again, if you learn nothing else from this, you are going to learn that all of this stuff; all of the charts, all this candlesticks and all of this squiggly lines; all it is doing is showing you the decisions that market participants are making. So follow me here. This is very, very important information. If you want to tell where all the big money is going, you look at the week high and the week low. What do we tell here?

Well you can see here that the low is right there for this week. Well, is it above or below the prior week? Literally, it’s this simple. The easiest answer is it is above, right? If price is moving up does that mean they are bullish or they’re bearish? It means that they are bearish. That was pretty easy.

What about the high? The high is right here. Did the market move above the high the prior week? Absolutely. Again, does that mean they are bullish or bearish? It means that they are bullish. What about this one here? The low is up but the high is at the same level. What does that mean?

It means that they’re digesting. Any time the market gets to a logical point; you will typical see this kind of hesitation. It’s perfectly normal and we can anticipate it and we can plan for it.

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