There is a TX Auto Alert plot on the H4 charts of GBPCHF
This blog post will guide you step by step on how to continue and use TX Auto Alert correctly.
Step 1. Check for Trend
Always check if the plot by TX Auto Alert is in line with the trend.
Step 2. Check for Strategy
Determine if there is a strategy that can be use. There are 4 strategies in total:
- BM (BigMove)
- WRMB (WR Many Boxes)
- H4R (Reversal)
- H4T (Trending)
For GBPCHF, the trend is up so this upflow plot is pointing in the right direction. Also there was a previous BM strategy in line with the trend, so BM & H4T is applicable.
Step 3. Check if Pt4 is at a good Support/Resistance
As part of determining whether the 1234 pattern is a good one. One of the more important checks is to ensure that pt4 is at a strong support or resistance.
A good support or resistance (Support in the case of GBPCHF) can be made out of confluence of the following:
- Fib-R level of the Flow
- Previous Boxes High/Low
- Higher time frame (D1/Wk/Mth) turning points
- Top or Bottom Equidistant Channels
Step 4. Find the triggers for entry
After you’ve determined that the 1234 pattern is valid. Next we would need to find out how to exactly enter the trade.
There are a 3 triggers which can be used:
Take note that price needs to ultimately clear any minor resistance of previous boxes lows on the H1 for it to be able to head higher up.
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