Forex Time Cycle Strategy (II)

Forex Time Cycle Strategy (II)

In the article “Forex Time Cycle Strategy (I) I wrote about a simple trading strategy with time cycle lines here I want write about the advance time analysis with cycle lines and Fibonacci time lines.

To trade better in Forex market we should understand the Forex market behavior and specially the symbols behavior.For example EURUSD behavior is different from GBPUSD or GBPJPY or USDJPY and etc. Because EUR market is different than US market and etc.

Time cycle analysis can help you to improve your idea about the correct market trend you can understand when it’s probable that the market trend change.Time is one of the important factor in the Forex Charts we know that when the Forex charts will go up it means that we had more buy than sell and when the chart will go down we had more sell than buy well it’s very important that we know how much time passed for that movement.

The important question in all Forex chart movement is :

1- It was real movement or cheat?

Cheat movement means short time movement in other hand some time market go back to start again and we think that the market want come back and the trend changed.

A Fibonacci time zone line is good tool to analyse the Forex Cycles.

Please look at the below pictures:

As you can see we had bearish trend on EURUSD when the trend finished market did not come backed so the next cycle market will give you sell signal but the market stopped !

I draw the Fibonacci time line from the start trend time to the end trend time and the other lines drawn automatically. When the second time cycle passed we should think about the new market trend with the Fibonacci time zone we can wait till the third and fourth time cycle.

Check below picture please: