Monday, 16 June 2014

Congestion Zone


Live example of congestion zone is noticed today.  I have marked this zone in a light blue color rectangle box.  Notice the significance of it.

I took the first trade when it broke below IRL (T-1) as BPB of PDL RN DO. I took that trade out of the congestion zone as it is always good to trade away from the congestion zone.

Another trade opportunity is at the area marked as (T-2).  BO of PDC or BPB of PDL RN DO. It is also a good PP (pressure play). However, the trade has failed.  One of the reasons I see is the congestion zone.  This trade is in the congestion zone.  We need to wait for it to come out of this congestion zone.  

0 comments:

Post a Comment