Thanks to Nail, friend Reply. These false-breaks are huge pieces of evidence for impending market direction, and we need to learn to use them to our advantage instead of becoming their victim. If I had to leave you with one crucial piece of advice for your Forex trading career, it would be to drop everything right now and start studying false-breaks and contrarian trading approaches. Only some people in the world have good intentions on others welfare. I say thank you for sharing this with us.
FQ Head Fake Binary Strategy is a momentum strategy based on FQ Head Fake and RSI indicators. When the RSI is in oversold/overbought check if there is signals of FQ Head Fake indicator. Time Frame 5 min or higher.
BREAKING DOWN 'Head-Fake Trade'
The past performance of any trading system or methodology is not necessarily indicative of future results. Forex, Futures, and Options trading has large potential rewards, but also large potential risks. The high degree of leverage can work against you as well as for you.
You must be aware of the risks of investing in forex, futures, and options and be willing to accept them in order to trade in these markets. Forex trading involves substantial risk of loss and is not suitable for all investors.
Please do not trade with borrowed money or money you cannot afford to lose. Any opinions, news, research, analysis, prices, or other information contained on this website is provided as general market commentary and does not constitute investment advice. We will not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from the use of or reliance on such information.
Please remember that the past performance of any trading system or methodology is not necessarily indicative of future results.
Here is a visual example of a false-break of a key market level: Types of False Breaks 1. Classic Bull and Bear traps at key market levels A bull or bar trap is typically a 1 to 4 bar pattern that is defined by a false-break of a key market level. False-break of consolidation False breaks of consolidation or trading ranges are very common. False-breaks can create long-term trend changes As price action traders , we can use the price action of a market to anticipate false-breaks and look for them at key levels as they will often set off significant changes in price direction or even a change in trend from these key levels.
Checkout Nial's Professional Trading Course here. Price Action Trading Patterns: Brian March 31, at 1: Simy Sadoun January 5, at Hello Nial You ride on tiny hints from these bars, successfully. N from Nigeria November 18, at Vijaykumar September 4, at 4: Hugo September 25, at 5: Marc September 27, at Afolabi sunday April 1, at Giwa saibu olajide January 16, at Nice one , this is lovely, I love your trading method, thanks Reply. Soni August 21, at CHAI August 5, at Hi, in Fakey, we might entry at breakout in Inside bar but it formed fakey at the end..
How to avoid this happen? Shota July 8, at 8: Goddy Emmanuel July 7, at 8: Nabs June 23, at 2: Segun June 17, at 4: This makes so much sense. This is the truth. Jeremy May 12, at 5: I agree with Tom above who said it would be really helpful if you showed possible trade entry points with this and your other strategy examples Reply. Hi This article like other articles has covered basic market movements and concepts. Rahwa February 17, at 5: Rick February 17, at Every note helps a lot in my way to be a excellent pro trader Reply.
Wajdi Beiruthy December 12, at Manjula December 11, at 9: Thank you a lot Reply. KC December 11, at HI thanks for article! Berke December 8, at A five star lesson, again.
Marko Graenitz November 23, at Samuelkken October 25, at 9: God bless u for ur generosity Reply. Kamran Saeed October 24, at 3: Alan October 4, at 2: Angelo September 2, at 9: George September 1, at Gold dust…as usual, Thanks Niall. Raj Jadeja August 31, at 6: Awesome………… Simply superb Raj Reply.
You are my mentor!!!! IT is always a great lesson from the Professor. Lionell Dixon August 15, at I absolutely love your lessons Nial! Keep up the great work! I love to read your articals Reply. GaryC August 13, at 1: Great stuff Nial, look forward to reading that part of your course. Herve August 12, at Very interessant, your article! Mike August 12, at 2: Sanjay Prajapat August 12, at 2: Maxim August 11, at 8: Excellent, excellent, excellent …..
Tim A August 11, at 6: Very good article and relevant to what I am doing on intraday charts. Tomson August 11, at 4: Thanks Nial, Great as always. Iain August 11, at 4: Great bit of education Nial. Sher August 11, at 6: A word to the wise is sufficient…..
Thanks to Nail, friend Reply. Emmanuel August 11, at 5: You are the best Nial… Reply. Blixa August 11, at 5: Hadi August 11, at 5: Sez Elabor August 11, at 3: S August 11, at Thanks valuable tips Cheers Reply. E August 11, at I doff my hat! Eddy Adeosun August 10, at Fabiano Venturini August 10, at You are the strongest Reply.
Daniel August 10, at 9: Now if I can only learn ALL the possible configurations of a false break: Ironn August 10, at 9: Great article my friend! Mule August 10, at 8: Tim August 10, at 8: Brannigan August 10, at 8: Nial, your articles are a must read for all traders. Terhile August 10, at 7: This is good for the season we are in Reply. RomNed August 10, at 7: Zarshad Khan August 10, at 7: Nial, I love to read your articals, its amazing and full of knowledge, the way you explain it outstanding , waiting for opening account and enter in member area.
Tom August 10, at 6: Tom, I do expand on the actual entry techniques in my course and members lessons, cheers. Ross August 10, at 6: Yam August 10, at 6: Leave a Comment Cancel reply Your email address will not be published. Recent Popular Comments Nial Fuller. Can Forex Trading Be Taught? Exactly Simon, great comparison of costs, this is Great comment John, I agree My understanding is that bankers trade the 1 hour Keletso on About Nial Fuller.
Suppose the index advance stalls and it begins to drift lower, trading below a key short-term moving average. The bears might rush in at this point based on their trading view that the index decline has begun, but if the index subsequently reverses course and heads higher, this would be a classic head-fake trade.
Contrarian traders are more likely to be taken in by a head-fake trade than trend-followers, since a contrarian trading philosophy is based on a willingness to go against the crowd. As traders and investors who fall for the head-fake trade can incur significant losses, an adherence to strict stop-loss limits is necessary in such cases. In the latter case, the pullback can be an opportunity to get on a breakout move after it has first developed. There was a significant number of head-fakes during the record bull market that commenced in March Perhaps the best-known example is the "Flash Crash" of May 6, , in which the Dow Jones Industrial Average DJIA plunged almost 1, points in a matter of minutes in intra-day trading before erasing most of that loss by the close.
Traders who may have put on large-scale long-term bearish bets on U. A breakout trader is a type of trader who uses technical analysis Basing refers to a period in which a stock or other traded security Day traders execute short and long trades to capitalize on intraday Sometimes you have to be a predator to profit. Find out how to cash in on false breakouts. These stocks are breaking out, or close to it. Here are the pros and cons of trading these stocks right now. Following significant price moves, these stocks are currently moving in small price ranges and are poised for another breakout.
FQ Head Fake with RSI
The first thing that we need to understand in forex is exactly what a head fake is. A head fake is the measurement of how many A head fake is the measurement of how many traders are trapped at an intermediate high or intermediate low. A Head Fake is a measurement of how many traders are trapped at the intermediate high or the intermediate low. With this precise measurement you know when the top or the bottom has been reached. This Head Fake System is a mathematical formula that tells you when the price has reached the top or the bottom. So the main page for this forex product is a video, and discusses a forex system over a beer with Tom. All the details are inside the FX Head Fake video, there is nothing else on the web page, so if you want to learn about this .