USDCAD Double Bottom Within Nested Divergence 19-07-02

Last Friday I made a live trade call again. This time it was on USDCAD and it got a 1.75R winner.

This setup was also a highest quality reversal setup based on multiple edges that came together at one single moment. Together with the other three setups that I announced live within the past two weeks I analyzed 4 out 4 reversals correctly at the exact time and price.

This 100% success rate doesn't come by chance. I only apply the knowledge that I teach on my website and in the telegram groups.

The situation of the bigger picture (H4/D1) is the most important part to select high probability double top/bottom signals on M30/H1.

And the following explanations will show you why the reversal was nearly 100% sure.

This screenshot shows the moment when I announce the setup live in front of 1200 members of the telegram group:

 

 

If you look at the following D1 chart of USDCAD you can clearly see that the price is approaching a major sell-stop-level (green horizontal line). The smart money is is driving the price into such levels and then they aggressively buy into the sell-stop orders which are placed by the members of the herd:

 

The next screenshot shows the situation on the H4 time frame. You can see a matured downward trend (red MACD-values) and a divergence has developed which means that the downward trend major a bigger pullback to the upside and after the trend continued downwards, the speed of the downward trend slowed down:

 

 

The same divergence situation (but on a smaller scale) developed on the time frame H1, as you can see in the following screenshot.

The divergence on H1 is a small divergence within the bigger divergence on H4. Therefore, this H1 divergence is A NESTED DIVERGENCE. Such nested divergences can play a big role in detection high probability setups!

 

 

The thin horizontal green line in the screenshot above shows the major sell-stop-price level that I already highlighted in the D1 chart.

After seeing the situation on D1, H4 and H1 I predicted that the smart money will drive the price very fast into the sell-stop-price level. The name of this behavior is a stop hunt where the smart money kicks the herd of their trades or triggers new trades at the worst price!

I also predicted that the smart money will reverse the price very sharply to the upside after the stop hunt. The stop hunt and the sharp reversal forms a V-shape pattern on the chart.

The following screenshot shows the V-shape pattern that I predicted live in the telegram group when I announced the setup:

 

 

This V-shape pattern can also be used to trade fully automatically with the V-Power EA

You can download The V-Power Free Version here: V-Power FREE Version

I even predicted that the smart money will wait with the stop hunt until the CAD news will be released. Then the smart money will have an excuse to cover the tactical stop hunt move :

 

 

And it happened exactly as I predicted. The smart money did the stop hunt during the news release and sharply moved the price upwards. This gave us the double bottom signal on the time frame H1:

 

 

I placed my limit buy orders as always:

 

 

One day later the trade gave a nice winner:

 

 

 

If you learn to analyze the markets this way then you have the key to constant trading success! Money will accumulate in your trading account in the long run.

Does this mean that you will have no losing trades? --> NO, and there is no such holy grail. But you will have a steady edge that after a series of trades will produce you money. There are members in the telegram group who trade with 80+% winning percentage since many months. They have learned to pick the best setups.

 

You can get Double Top/Bottom signals in real-time with the following products:

Alert-Dashboard (runs on your computer, signals via email and push)

Telegram Signals (you don't need a computer running 24/7, signals via telegram messenger)

 

 

 

 

 

 

 

 

 

About Me

I'm Mike Semlitsch the owner of PerfectTrendSystem.com. My trading career started in 2007. Since 2013 I have helped thousands of traders to take their trading to the next level. Many of them are now constantly profitable traders. 

The following performance was achieved by me while trading live in front of hundreds of my clients:

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