123 Pattern Indicator is a practical forex tool that enables you to easily spot significant pattern formation directly on your chart and improve your 123 Pattern Strategy.
123 Pattern Basic Instructions
- From point 1 to point 2 range should be between 50 and 20 pips.
- All of point 1 to 2 and 2 to 3 need to have at least 1 candlestick between in order the 123 pattern to be considered valid.
- There might be incorrect 123 pattern formations within good patterns.
The picture above shows how 123 Pattern Indicator works on Metatrader 4.
123 Pattern Indicator Setting
Time Frame: 15M or above
Once the price hits point 2 from below. The price goes over the blue red limit. That is when we enter long.
If the price breaks point 2 from above. The price falls under the orange red level. That is when we go short.
To prevent dangerous moves, never operate right before significant financial news releases. Occasionally, when trend breakouts happen, you may go for even more than 20 pips.