WEBVTT

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Tweezers top and Tweezers bottom are the candlestick version of support and resistance. Tweezers,

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in fact, are two or more candles with the same highs or same lows. In an uptrend, a tweezers top is formed

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when two or more consecutive highs match. In a downtrend, a tweezers bottom is formed when two or more

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consecutive lows match.

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The logic of this pattern is that if we have two or more consecutive highs or lows,

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it means that that price is hard to overcome.

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That's why I introduced this pattern as a candlestick version of support and resistance, because it

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reminds me the same logic of support and resistance.

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Here we have euro-dollar on a 4-hour chart and I have zoomed in to have a better view of the

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pattern.

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As you can see euro-dollar is in an uptrend, then there are two candles that reach the same high.

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Could it be that sellers are selling the currency pair at that price and buyers struggle to go over it?

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In this chart instead we have pound-dollar on a 4-hour chart.

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You can see that sellers are in control at the beginning but they can't break the level that is formed

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by the two lows of the tweezers bottom.

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Last thing, I want to give you a quick tip based on my experience of the forex market. The tweezers work

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better when they also form another pattern.

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For example, here we have a tweezers top that also form a bearish engulfing.

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This one is a tweezers bottom with a second candle that is also a long legged doji.

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In general when you have more clues that indicate the same trade to take, it is better.

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That's why when the tweezers

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also form another pattern you have a stronger signal.