Everyone knows that when it's trending, if the trend is up, we have to buy, and if it's down we have to sell, but the question is?? what if there is no trend alias consolidation? If we are new and new to Forex trading, it is not recommended for us to trade in periods of consolidation.
Because prices often fluctuate for no reason and the indicators that I use when trading in trending market conditions, the Alligator is enough, for me the Alligator can clearly describe the price position, but during consolidation, what I rely more on is Bollinger Bands. simple, namely when the price exits the Upper or Lower Bands, there often the price will reverse direction to enter the middle line.
Another way to trade in times of consolidation is to only trade during market transition hours, because it is during these hours that we often find golden opportunities to seek profit. Usually during consolidation, other than during market transition hours there is no significant price movement, to take advantage of the consolidation period to seek profit is sometimes quite pleasant, and the problem is that the consolidation period sometimes takes quite a long time; What happened to me was that GBP/USD was consolidating for a few weeks to a month, even Monthly.
Linkback: https://www.forex.zone/forex-education/29/how-to-trade-when-trending-and-consolidating/3928/
