Andrew’s Pitchfork Signals

Andrew’s Pitchfork Signals

Forty Seventh session of Forex Training

Welcome back to Forex professional training in financial markets.

In this session Andrew’s Pitchfork signals will be studied in details.

First signal model

In a Bullish format, after a price has reaches the 3^rd pivot, it will increase until the 1^st pivot line.

Then the price will decrease until the 3^rd pivot line. A Sell order can be placed on this breakout point with TP equal to the 3^rd pivot price.

SL can be above a breakpoint until the last peak that touched the 1^st pivot line.

An example on an uptrend shows that the price has reached the conditions of this model, then the price met the 3^rd pivot price.

In a Bearish format, after the price has reaches the 3^rd pivot, it will decrease until the 1^st pivot line.

Then the price will increase until the 3^rd pivot line. A Buy order can be placed on this breakout point with TP equals to the 3^rd pivot price.

SL can be above a breakpoint until the last peak that touched the 1^st pivot line.

[adv_thirdsec ]

Second signal model

In a Bullish format, after price has reaches the 3^rd pivot, it will increase until the 1^st pivot line.

Then the price decreases towards the 3^rd pivot line again, but just before touching this line it will change its direction.

A Buy order can be placed on this reversal point with TP equal to 1^st pivot price. SL can be lower than the 3^rd pivot line.

In a Bearish format, after the price has reaches the 3^rd pivot, it will decrease until the 1^st pivot line.

Then the price increases toward the 3^rd pivot line again, but just before touching this line it will change its direction.

A Sell order can be placed on this reversal point with TP equal to the 1^st pivot price. SL can be higher than the 3^rd pivot line.

A Bullish type can be drawn on MT4. After the price has returned from the 1^st pivot line, it did not cross or touch the 3^rd pivot line.

Thus, a Buy order could be placed on the last valley with TP price equal to the price of the latest 1^st pivot line cross.

Third signal model

In a Bullish format, after the price has reaches the 3^rd pivot, it will increase but it will not cross or touch the 1^st pivot line, so it will change its direction towards the bottom again.

After price crosses the Trigger line, trader can place a Sell order with TP price equal to the 1^st pivot price.

SL price is between the breakout point and the last peak.

In a Bearish format, after the price has reaches the 3^rd pivot, it will decrease but it will not cross or touch the 1^st pivot line, so it will change its direction towards the top again.

After the price crosses the Trigger line, trader can place a Buy order with TP price equal to the 1^st pivot price.

SL price is between the breakout point and the last valley.

[adv_thirdsec ]

On USDJPY symbol, price has formed this type of Andrew’s Pitchfork.

Price did not touch the 1^st pivot line after it has pass the 3^rd pivot, thus, a trader could place a Buy order after Trigger line was crossed.

TP price was reached in this pattern if a Buy order has been placed.

Trader should practice several times to enhance his/her ability to detect valid and correct pattern.

That concludes this session, until next time and another session take care.