Board..I have had several requests via PM for understanding of the Dual Quad Tunnel chart setup that I designed and use so I am going to try to post a number of charts explaining various aspects of the chart layout.
This will be the first of a number of charts I will be posting this weekend and hopefully bring understanding to this setup.
The Dual Quad Tunnel details for building it are found in the Ibox..add an EMA(676) to the chart...I think the rest of the info is complete.Note:..in Oanda you may be limited to EMA period less than 500 so external charting would be necessary..such as Think Or Swim(the charts I will post) or MT4.
The Quad Tunnel is unlike anything most of you have ever seen and it takes the guesswork out of the equation for finding SUPPORT and RESISTANCE...those issues are ALL that matter in trading...at support you buy..at resistance...you sell...Simple ..No?(LOL)
This setup uses a short term Quad Tunnel and a long term Quad Tunnel...if short term tunnel is above long term tunnel then the instrument traded is bullish(relative to time frame) and if short term is BELOW long term then the instrument is bearish(relative to time frame).
I say 'instrument because its not confined to FOREX..This setup is just as effective on anything traded ...FOREX..Stocks...Futures..Indices
Will start this ongoing session with a one hour chart on AUD/USD...At first glance the chart is very busy looking...cant help that..everything you see is vitally important...get used to busy(LOL)
First thing I see at a glance is that the pair is bullish on the hourly chart because long term tunnel is below short term tunnel and has good divergence on both and both are rising.
This pair shows a major drop that supports at EMA(676)..yellow line..but trend was not damaged ..its just too strong(genuine trends change s-l-o-w-l-y)
I chose to start with this chart to show the need for EMA(676)...its very important..even on a ONE MINUTE chart.
Will stop here and post the chart for you all to study...will add more to this series as time allows.