When big data is released, the market has sufficient energy, which can easily cause price spikes and drops. In practice, we need to determine the trading of these varieties based on market trends. Similar examples can be found everywhere in the foreign exchange market, such as the GBP often releasing data at 4:30 pm. At this time, it is necessary to judge whether the bulls have gathered and whether the market structure is on the verge of breaking through based on technical factors (the same applies to bears).
2The trend of large span and flat structure
A large span indicates that the time for energy accumulation is sufficient, and a flat structure with a small range of fluctuations indicates that energy and popularity are fully concentrated within the range. Therefore, once this trend breaks through the range, it is easy to break out of a large unilateral market. Similar trends are often seen in foreign exchange, and with patience, these trends can be achieved.
3The trend of key positions confirmed multiple times
The upper and lower tracks of the oscillation range generally belong to the psychologically sensitive positions of the market, and if these key positions cannot form a breakthrough after several touches, this sensitivity will increase. Once the market's combined force breaks through these key positions, prices can easily form a one-sided trend.