One of the new insights that I learnt from the Kathy Lien's book is regarding the zeros fader. Prices tend to have big actions whenever the price hit figures with many zeros behind.
This is because many big players like the bank will execute an order that is not too precise, like 1.6783, etc. As humans, when we think of a number, we are usually more brief, and will execute an order more like 1.6000, etc. This represents good trading opportunities, if we take note of these ranges. Figures that we can take note of is figures with at least 2 zeros behind, for example 1.6700.
The above Weekly chart is a fascinating example of what happens when prices hit 3 zeros.
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