On this chart we are able to see three numbers.

Three situations are presented where price starts to move sideways 1, breaks up to the up side 2 and then moves sideways again 3.

If you are watching a currency pair like this the I recommend to stay away and decide not to trade.

When forcing a trade in a choppy market the the stop loss is likely to be hit.

The only trade that makes sense taking to me is the outbrake at number 2 in the direction like I like to trade of the 55 and 200 MA.

You may of course try to trade the range if you are very fast in pulling the trigger but please watch out for a positive risk reward when playing the ranges.

Best of PIPS

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