The first Figure shows us an uptrend on the Forex market. You can see the breakout of the resistance level from the bottom to the top, then the consolidation. Oftentimes after a currency pair has been in a trend for a time, it will begin to consolidate or trade in a range. A trend trader can cease. Consolidation Phase In Forex Trading · Consolidation occurs after a trend where price moves sideways between support & resistance and ends when the price breaks.
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