moonchild
VIP Contributor
In Forex trading, choppy market is a state of the market where the price is not making a definite move not an uptrend or a downtrend but just moving sideways and you can't even make sense out of it, and you can't analyze it, this state of the market is obtained when there is a breakout in a trend which we discussed on the reversal topic I posted, when a breakout happens, the sellers and the buyers are busy, everyone is trying to get a hold of the market and because of that everyone is trying to take a position in the market, that's why there is a Choppy market and you'll be seeing a lot of candlestick moving sideways.
In a Choppy Market the best thing to do is to step aside and just watch, you can use the rectangle tool to demarcate the choppy range and just watch what happens, the market will break out to either an uptrend or a downtrend.
When there's a breakout in a Choppy Market, it can just keep on going In the direction or the price will comr back and retest the level.
It's best to wait till the price retest before joining.
In a Choppy Market the best thing to do is to step aside and just watch, you can use the rectangle tool to demarcate the choppy range and just watch what happens, the market will break out to either an uptrend or a downtrend.
When there's a breakout in a Choppy Market, it can just keep on going In the direction or the price will comr back and retest the level.
It's best to wait till the price retest before joining.
