3. DBD

DBD means Drop Base Drop. The price comes down then the price makes a base and drops further down from the base. This occurs in a bearish market.

Below you can see another nice example in the charts. The price goes down then there comes resistance (Base) And then the price drops again. In this case your entry point will be the first time the price returns to the supply zone. At that moment you wait for a nice rejection candle and you start selling at the next candle. Stoploss 5-10 pips above the zone. The 2nd time you could sell again.

Homework Assignment:

Send 2 screenshots of the DBD mapped out in the charts.

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