Jun 08
EURUSD 7 Jun
GBPJPY 7 Jun
In both charts above, candle A has a lower low than its previous candle. That means in both cases, bears were trapped. In addition, in both cases, price found support at a bullish trendline.
However, buying above candle A would have resulted in a nice profit for the first chart, but would have resulted in a loss for the second chart.
A more careful analysis would reveal that the price action in the second chart does not warrant a buy. This is because price failed to make a higher high prior to candle A, suggesting that bears may be gaining control.
