The next example is of the GBP/USD. The first chart is the 30 – minute.
Both the 4 – hour and 30 – minute charts 89,s and 144’s were in buy mode at the time of the trade.
In this particular trade the RSI maxed out first at 21h00 with a reading of 29.15. Next was %R, which came in at 88.89 at 22h00 and MACD was – 0.0015 at 23h00.
Again I mention that I am only looking for these indictors to reach
extreme levels in proximity to each other.
They do not have to be oversold or overbought at exactly the same time. Every now and then though, you do get all three hit an extreme level at the exact same time, but it is the exception rather than the rule.
The next chart is the 5 – minute of the trade during the same time.
I have taken off the 89’s and 144’s to make this clearer.
