Be ware of price trap in Lower time Frame

I write this post because a friend of mine was surprised when EURUSD pair drop again below 200 moving average (daily time frame). This happen August 26 2015.
Let see EURUSD price movement at that day:

Before August 25 2015, EURUSD price is below 200 Moving Average. The price is below a resistance level to at 1.1400. The day after, EURUSD break this resistance and the 200 Moving Average line. It's a long green candle with short upper tail. Daily trader open long (buy) position after this breakout happening.

Two days after the breakout, unexpectedly, the price move lower, lower and lower again until it close below 200 Moving Average Line and below the Support Level (1.1400). Wow...... trader called it bullish trap.

The worst mistake if a trader take this breakout is, they DO NOT FOLLOW the TREND. In this blog, i give an alternative way, an easy way to determine trend by using Simple Moving Average. The key is The order of Moving Average.

The other idea in this blog is trade forex by using weekly time frame. Now let see weekly EURUSD price movement:

This chart was taken at August 28 2015. Focus on the last candle. What do you see?
1. The price is below 200 Moving Average
2. The price isn't break the resistance level
3. The price rejected both resistance level and 50 Moving Average by perform pin bar

The conclusion is EURUSD still bearish. If this formation not change until the week ended, so it's our opportunity to open sell position in the next Monday when the market reopen again.

What i want to tell you is, when we trade a forex, always check the price movement in a higher time frame to avoid bullish trap of bearish trap.

Enjoy your trade