Here's the translated and simplified English version of the Urdu/Hindi transcript you provided.
I've structured it for clarity and easy understanding, focusing on the educational flow of the
video:
📈 Hello Traders, Welcome to Our Channel – The Trading Guide
In today’s video, we’ll discuss VSA (Volume Spread Analysis) and a powerful confirmation
test called Two-Bar Reversal (TBR). If used properly in the direction of the trend and with
trigger lines at climactic action bars, this test can give very accurate trade signals.
🎯 What is Two-Bar Reversal (TBR)?
Two-Bar Reversal is a confirmation test in VSA. It’s highly effective when used in the right
context — especially at the bottom of a trend or during a selling climax.
We are currently focusing on selling climax setups. Later, we’ll also study buying climax setups
and discuss all scenarios using volume tests and examples.
📊 Live Example and Setup Explanation
A setup from yesterday’s video (Automatic Rally) is forming live now on the 1-minute chart.
Here's the breakdown:
H1 (1-hour) chart is bullish.
M1 (1-minute) chart turned bearish temporarily.
Price approached a marked level and gave ultra-high volume, fulfilling the criteria for a
climactic selling bar:
o Selling background
o Big red candle
o Wide spread
o Volume higher than previous candles
We marked:
Upper trigger line
Lower trigger line
Price reacted by:
1. Creating an automatic rally
2. Breaking previous lows
3. Ranging sideways
4. Attempting to break upper trigger line
If it breaks the upper trigger line, it will confirm a buy setup (Scenario #3).
🔧 Trendline and Channel Setup
We draw a trendline:
From the top of the automatic rally
To the point where the price last broke support (a confirmed low)
We are waiting for a confirmed breakout of this trendline for a more reliable buy.
✅ Valid Buying Conditions
Buying becomes valid only when:
Price breaks the upper trigger line after an automatic rally
A momentum candle confirms the breakout
Entry can be:
Aggressive: On the breakout
Conservative: After a Two-Bar Reversal forms
Stop Loss:
Below the defined low of the setup
Below the TBR low
Take Profit:
First TP: Previous structure level
Final TP: Previous high
If price breaks higher, expect a move to new highs (if M5, M1 align bullishly)
📌 What is a Two-Bar Reversal (TBR)?
A TBR is:
A two-candle pattern:
o First: A large-volume bearish candle
o Second: A smaller-volume bullish candle that engulfs or closes above the
previous
It's like an order block, a confirmation that buyers are entering
Ideal Places to Use TBR:
1. Trigger lines of climactic bars
2. Order blocks
3. Gaps
4. Support and Resistance
But avoid using TBR randomly everywhere. If you do, accuracy drops and SLs get hit more
often.
⚙️Rules for Trading TBR
Only trade TBR:
Near climactic action bar trigger lines
With proper trend alignment
After a valid setup is formed
With low-risk stop loss placements
Best Accuracy (~95%) occurs:
When TBR forms on trigger lines of climactic action bars
📉 Retracement Phase Example
If price is in an uptrend and starts retracing:
We check if the low of the previous bullish candle is broken (confirming retracement)
If a climactic selling bar forms with:
o Selling background
o Wide spread
o Ultra-high volume
We then:
Mark upper/lower trigger lines
Wait for price to either:
o Break the low
o Break the upper line
Then look for TBR confirmation.
🚀 Entry and Risk Management
First Buy: After upper trigger line breaks
Second Buy: After price pulls back and gives a valid TBR (momentum candle with
proper volume difference)
Stop Loss: Below TBR or setup low
TP: Structure levels
Do not expect huge profits every time. Stay disciplined, avoid greed, and exit based on
structure levels.
🧪 Invalid TBR Example
Avoid TBR setups that:
Don't break the high of the previous bearish candle
Have weak bullish candles or just a wick up
Lack volume confirmation
Such TBRs are low-probability trades and should be ignored.
📌 Final Summary
Use TBR only on climactic bar trigger lines, order blocks, or gaps
Wait for valid setup confirmation
Follow the trend
Set logical stop loss and TP
If the automatic rally setup completes today, you’ll see the price reach the projected targets by
tomorrow, Insha’Allah. I’ll show you the results in the next video.
Here’s a clean and simplified English translation of the full Urdu-Hindi video transcript you
provided, focused on making it easy to understand for a forex trader learning about Point of
Interest (POI), CSA strategy, Climactic Action Bars, and Two-Bar Reversal concepts:
Assalamualaikum and welcome to The Forex Guide.
I’m Ahmad Umar Akhtar, and I hope all of you are doing well.
In the previous video, we talked about the Point of Interest (POI)—how to mark it during a
running trend and how, once confirmed, it gives a high-probability trade entry in the direction
of the trend. The benefit of trading with the trend is that you can hold trades long-term. For
example, we have a gold trade running from 2641 and another from 2665, with one currently up
over 7800 pips.
But these kinds of trades only happen when:
1. You understand the market trend.
2. You know how to identify and mark POIs properly.
If you're not familiar with POIs, check out the video titled “Killer Trade Entry – POI
Method,” which explains how to find and use them.
Once you've marked a POI, the next step is entering a trade. The easiest way is to use your
strategy to buy/sell around that POI. Since we use CSA (Climactic Setup Analysis), we rely on
the confirmations it gives.
CSA Confirmations
The most reliable confirmation in CSA is the Climactic Action Bar, especially:
Scenario #3, which has over 95% accuracy.
There's also the Automatic Rally setup, which is even more accurate.
Scenario #1 is less reliable because it often hits stop-losses. So, we focus on finding Scenario #3
setups at POIs. If it’s not available, we look for the Two-Bar Reversal (TBR), which is the
second most accurate setup.
What is a Two-Bar Reversal?
Think of it like a U-turn on a road. For example, you're driving west and then take a U-turn to
head east. It means you've changed direction.
In trading, if you’re in a bullish trend, you’ll have:
An impulse wave (a strong move breaking previous highs).
Then a retracement (pullback).
At the end of that pullback (e.g., near a breaker block or previous higher low), if you get a TBR,
that’s your entry point back into the trend.
The reversal means price was going down temporarily and then reversed to continue upward.
Structure and Trend Clarity
If price keeps breaking its highs and holds lows, it’s a bullish trend.
If price keeps breaking lows and holding highs, it’s a bearish trend.
You're looking for TBR after retracement, not during weak movement. A true TBR should
come after price has moved and started to pull back.
Best Candle Shape for Two-Bar Reversal: The "Engulfing" Candle (Elf Candle)
An Engulfing candle (Elf) is one that completely covers the previous candle.
Examples:
A red (bearish) candle that engulfs a green (bullish) candle — signals a bearish reversal.
A green (bullish) candle that engulfs a red (bearish) candle — signals a bullish reversal.
Strong Engulfing Candles have:
1. No rejection wick in the direction you're trading.
2. Small volume — the engulfing candle should have lower volume than the previous one.
Why? Because a low-volume breakout is more reliable when price is moving in the trend
direction.
Volume Example
If a green candle had high volume, and a red candle engulfs it with less volume, that’s a valid
setup. It shows price is shifting direction with strength but not forced movement.
Trend Matters
If you're trading with the trend, even a weaker engulfing candle might work.
But if you're trading against the trend, even a strong setup can fail. So always prefer
setups with the trend.
Order Block vs Two-Bar Reversal
Some people say TBR is the same as an Order Block (OB). But there’s a difference.
For an Order Block to be valid:
1. Price must break structure (e.g., a previous low).
2. Then return to the OB zone.
3. Only then you take the trade.
But in a TBR, there's no need to wait for structure break. As soon as the setup appears, you can
enter the trade (as long as it meets the two main conditions mentioned earlier).
Where to Find High-Probability TBRs
The best TBRs are found:
At Points of Interest
In the direction of the trend
Examples:
In a bearish trend, look for TBRs at the retest of broken support levels.
Use additional tools like POIs, Order Blocks, Fair Value Gaps, or 50% zones for more
confluence.
Volume Spread Analysis (VSA) and Two-Bar Reversal Explained (Simplified)
🔹 12:50 – Price Action & Entry Zones
If the price makes a high and then breaks without returning to the previous level, then your next
point of interest (POI) is below that high. You can plan a buy trade from that zone.
Let me show you this at the end of the video with the actual marked chart. You’ll see how things
play out in real-time.
🔹 13:10 – Two-Bar Reversal & Trend Confirmation
Look closely here — this is a clear example of a Two-Bar Reversal.
Notice:
The trend is bearish — price is consistently dropping.
Price retraced into a zone, and at that retracement level, we got a Two-Bar Reversal.
Why is this level important? Because on the 15-minute chart, a Fair Value Gap (FVG)
appeared at the top. After that, the market structure broke, confirming the FVG and
validating any order block at this level.
Now when the price returns to that POI:
If a buy candle appears with high volume, but is quickly engulfed by a low-volume
down candle, that is your entry signal.
Enter short at that point.
Stop loss goes just above the POI.
Your target can be 1:2 risk-reward, or whatever fits your risk management.
🔹 14:30 – Weak Moves in Range vs Strong Moves in Trend
At times, price may not move strongly — it can stay range-bound. But once it returns to the POI
and gives another engulfing candle, you can re-enter.
Again:
Stop loss above POI
Adjust your target based on structure or range
Notice: In a bearish trend, even weak setups give good results. The key condition is:
✅ Entry candle should have momentum
✅ Volume confirmation is helpful, but the trend direction is more important
🔹 15:50 – Trading Against the Trend
Sometimes a bullish Two-Bar Reversal appears against the bearish trend. These can give
small moves, but they don’t usually shift the trend.
For example:
If the price is falling and a bullish reversal forms (high volume sell candle → low volume
bullish candle), you can enter.
But since it's against the trend, take your profits at the next structure high.
Don't expect large moves — structure is still bearish.
🔹 17:00 – Trend Alignment Matters
If your trade is with the trend, even weak signals perform well.
If your trade is against the trend, even strong signals may fail.
Examples:
A bullish reversal forms, price gives only a small wave up.
Because the trend is down, price only aims for the structure level (e.g., lower low).
Once a break of structure happens and the trend shifts bullish, the bullish setups start to work
very well.
🔹 18:00 – Structure Shift and Confirmation
After the bullish structure shift:
Bullish Two-Bar Reversals give strong and accurate signals.
Look for: high volume sell candle → low volume bullish momentum candle.
These form your new long entries.
Look for entries at:
Fair Value Gaps (FVG)
Order blocks
Structure break levels
Place stop loss below POI, and your target depends on trend strength.
🔹 19:50 – Identifying Reversals at the Right Zones
Not all Two-Bar Reversals are equal.
✔️Ideal setup:
Happens after price has dropped or retraced
In a range or pullback
Big volume on first candle
Engulfing with small-volume momentum on the second candle
Avoid signals at the top of a move or where there’s no proper range.
🔹 21:00 – Real Trading Scenario
For example, during a CPI news event:
If price doesn’t drop and breaks the high directly, you enter at the FVG or order block
below the structure break line.
Many traders in the group used this setup successfully.
🔹 22:00 – Final Tips: Trend is King
If you're trading with the trend, even weak setups work.
If you're trading against the trend, even strong setups may fail.
🔄 Example:
You’re in a bullish trend but keep shorting — even good setups will fail.
Stay aligned with the trend — your results improve dramatically.
"Trend is your friend. Light setups work well in trend; heavy setups fail against it."
✅ Key Concepts Recap
Two-Bar Reversal = Volume + Engulfing confirmation
POI (Point of Interest) = Where you look for trades (FVG, order blocks, etc.)
With the trend = Higher probability
Against the trend = Smaller targets, faster exits
Break of Structure = Trend shift confirmation