"Basic knowledge of markets behaviour" I want to talk about the most basic clear to identify structure in all of the financial markets. Its the simple pattern of testing and retesting Highs and Lows, before price moves appear. Although i know, that you dont need to have such a pattern to have a strong move, most of the time they occur as side effect, how i see this. 1. Situation is the "Hit the Price" (HTP) scenario. 2. Situation is the Double or Triple Bottom/Top - Head and Shoulders - scenario. While the 2. situation is mostly needed for trend reversal moves, to end the current trend, the 1. situation is mostly needed for trend continuation moves. But, the best of all regardless if its a trend reversal move or a trend continuation move, is when the market shows both scenarios toghether. This is the best possible Setup information on pure price the markets can give you. I show you some charts, to see, what i mean.
GBPUSD - HTP on Weekly and Daily. Head & Shoulders on 4h. Short Trend Reversal. Typicall situation of both tested scenarios.
Power Shares DB Energy Shows some clear Support & Resistance zones and strong moves after testing them.
Coffee (ICE) Wonderful Trend continuation scenario, with both HTP and Heads and shoulder, together with a little double or almost triple top.