Sometimes the charts will let you know which may the market will move BEFORE A NEWS ANNOUNCEMENT! This EUR/USD trade is a perfect example of this. I was checking the 1-hour charts and saw this setup. I placed a buy order right above the blue candle. In my experience, when two candlesticks of equal proportion appear side by side, a reversal is likely. This setup had divergence and was also sitting right bellow the swing low from the 29th of June. The risk on this trade was about 40 pips, and the profit was 80 pips. I decided to place a take-profit order near the 1.1402 area, as this zone was used as support and resistance by the market. When I placed this trade: I had no idea that there would be breaking news regarding a last minute rescue of Greece: Prospects of new Greek rescue rise at euro zone summit This piece of news pushed the Euro right towards my take-profit order, and thanks to technical analysis, I was in this trade before the news! Of course it doesn't always work out this way, but many times the charts will give you the heads up, IF you know how to read them! ;-)
