Here is another excellent example in the Pound Dollar. On the left of the chart you can see the market sold off to the Statistical Daily Low and there was a Trend Reversal buy signal. When the market is at a statistically likely reversal area with a Trend Reversal signal it is very likely to reverse at least 30 to 50 pips. You can see it nailed the low perfectly, the GBP then rallied up 300 pips! The next day it stalls at the Statistical Daily High and pulls back over 40 pips before shooting up even more.
Note: The first time a market hits a statistical daily high/low it usually reverses. Often the market won't make higher highs or lower lows but when it does its a sure fire sign of a STRONG trend!
The next day you have more knowledge than other traders. You know how strong the uptrend in the GBP is and go in and buy the Statistical Daily Low.
It rallies up 85 pips! The next day the market hits the Statistical Daily Low and again finds support and big buyers come in pushing the GBP up 65 pips!
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