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How to Spot Swing Highs/Lows in EUR/USD (The 4H Bias Secret)

A few years ago, I was you. I’d stare at charts for hours, chasing “surefire” setups. I’d buy at “cheap” prices and sell at “expensive” ones. But nothing worked. I lost 10 accounts—$4000+ gone—because I ignored the secret language of swing highs and swing lows.

Here’s where I failed—and where YOU might be failing too:

  1. “I couldn’t spot REAL swing points”: I’d mark every tiny peak/valley, getting whipsawed.
  2. “Fakeouts destroyed me”: I’d buy at a “premium levels,” only to watch price crash lower.
  3. “Timeframes confused me”: My 4H trend said up, but my M15 entries were chaotic.

Then, I met an old trader in Kisumu. He scribbled two rules in my notebook:

  • “Swing highs/lows are NOT just dots. They’re stories of WAR between buyers and sellers.”
  • “Trade the 4H’s footprints, but hunt in the M15’s shadows.”

Suddenly, everything clicked.

Here’s What Changed:

  1. I learned to spot valid swings: Not every bump counts. A true H4 swing high needs a break of structure beside it. A true H4 swing low needs a 40 pip pullback. No more guessing.
  2. I stopped fakeouts: If the 4H trend is UP, I only buy at discounted M15 demand zones after a pullback. No more fighting the tide.
  3. I aligned timeframes: 4H shows the bias (like a compass). M15 shows the entry (like a sniper’s crosshair).

You don’t need 10 indicators. You just need to listen to the swings.

If I could turn my disaster into a 7-figure strategy, so can you. Let’s fix your mistakes—starting now.

1. The Mountains & Valleys of Price

A swing high is a peak where buyers lose control. Imagine EUR/USD rallies to 1.09298, then drops 40 pips or more. If the next candles fail to break 1.09298, that’s a swing high—a “mountain” sellers defended.

Swing High Level

A swing low will be valley where sellers give up. Say EUR/USD crashes to 1.05174, then bounces back to the range breaking the previous structure with a candle closure, —a “valley” buyers claimed.

Swing Low Level
Swing High & Swing Low

Example: Right above, the current swing high (H4 SWH) is around 1.0700, and the current swing low (H4 SWL) is near 1.0520. These levels help traders understand the overall market structure and can be used to spot trends, reversals, or potential breakout zones.

In short, if price breaks above the swing high, we might see bullish momentum. If it drops below the swing low, it could signal continued bearish pressure.

Bullish and Bearish pressure

2. Why Retail Traders Get It Wrong

Most traders fail because they’re zoomed in too close. They use 1-minute or 5-minute charts (like staring at individual raindrops) and mark every tiny peak/valley as a “swing.”

What happens?

  • You buy at a “swing low” that’s just noise.
  • You sell at a “swing high” that’s not real resistance.
  • You get chopped up like sushi.

My mistake: I used to mark 15 “swing highs” in an hour on M5 charts. The market laughed.


3. Swing Structures = Supply & Demand Zones

Swing highs and lows aren’t just dots. They’re battle scars showing where big money entered or exited.

  • Swing high breaks? Sellers are weak. Buyers charge.
  • Swing low breaks? Buyers are trapped. Sellers feast.

Example: If EUR/USD forms a swing low at 1.07500, then rallies, that 1.07500 zone becomes a demand zone. Next time price dips near it, buyers often return (like homing pigeons).

Demand zone creation

Read also : The Ultimate Order Block Bible: From Zero to Funded Trader (2025 Guide)


The Artisan’s Secret

“Swing points are footprints of the market’s soul,” my Mentor said. Zoom out first.

  1. Use the 4H chart to spot major swing highs/lows (ignore anything smaller).
  2. Only trade M15 entries that align with these zones.

Why this works: Big banks and algos hunt retail stops around fake swings. By focusing on higher timeframe swings, you side with the giants.


Section 2: The 4H Bias Secret – Hunting in the Giants’ Footprints

Let me show you how I stopped gambling and started trading.


Step 1: Carving the 4H Swing Map (Screenshot Example Included)

Imagine the 4H chart as a battlefield map. Your job? Mark the major swing highs and lows—the ones that matter.

How:

  • Zoom out to 4H. Ignore tiny wicks and noise.
  • Swing High: A peak with a price rejection and pivot structure above 40 pips.
  • Swing Low: A valley with a market structure break point (BOS).

Example: On EUR/USD’s 4H chart, if price hits 1.06354, pumps to 1.07791, then drops 40+ pips and fails to break 1.06354 again—that’s a swing Low. Buyers won there.


Step 2: “Premium” vs. “Discount” – The Market’s Clearance Sale

Premium zones are where price is overbought (giants are selling).
Discount zones are where price is oversold (giants are buying).

How to spot them:

  • Premium: Price is near a 4H swing high. Think: “Expensive. Time to sell.”
  • Discount: Price is near a 4H swing low. Think: “Black Friday. Time to buy.”

Example: If EUR/USD rallies to a 4H swing high at 1.07791, that’s premium. Short setups here have institutional logic.


Step 3: Killing Noise – The 90% Rule

Retail traders drown in noise. Pros focus on only 10% of swings.

How to filter:

  • Ignore swings smaller than the average 4H candle range.
  • If a swing high/low isn’t “visibly obvious” in 3 seconds, skip it.

Note: On your 4H chart, if EUR/USD’s average candle is 50 pips, that’s cool. Just ignore swings under 40 pips. They’re traps.


Visual Example: Valid vs. Fake Swing Highs 

  • Valid Swing High: Price peaks at 1.09270, followed by a 78 pip drop , no wicks poking above, making it a visible pivot point used to mark a potential trend change.
  • Fake Swing High: Price spikes to 1.1000 but closes back down, with messy wicks. No lower highs after.
Fake Swing High

Pro Tip: Valid swings look like smooth waves. Fake swings look like lightning bolts.


Why This Works

Banks don’t care about 5-minute chaos. They trade 4H swings because that’s where liquidity pools live. By aligning with these zones, you’re piggy backing on their footprints.

Section 3: Trading the 4H Bias – My 3-Step Sniper System

Let’s cut the fluff. Here’s exactly how I trade EUR/USD now—no guesswork, no drama.


Step 1: Confirm the 4H Trend – Ride the River’s Current

Trends aren’t lines on a chart. They’re rivers of money.

How to spot them:

  • Bullish TrendHigher highs (HH) and higher lows (HL). Price climbs like stairs.
  • Bearish TrendLower highs (LH) and lower lows (LL). Price crumbles like a sandcastle.

Example: If EUR/USD makes a swing high at 1.09270, pulls back to 1.08022 (HL), then breaks 1.09270 to make a new HH at 1.10335—the trend is UP.


Step 2: Wait for the Pullback – Let Price Come to You

Retracements are traps for the impatient. Pros wait for discounts (bullish trends) or premiums (bearish trends).

How:

  • In an uptrend, wait for price to dip near a 4H swing low (discount zone).
  • In a downtrend, wait for price to rally near a 4H swing high (premium zone).

Example: EUR/USD is in an uptrend. Price rallies to 1.09270 (HH), then pulls back to 1.08022—a “4H swing low/discount zone”. That’s your hunting ground.

Discounted Priced Swing

Step 3: Enter on M15 Confirmation – Pull the Trigger

The M15 chart is your sniper scope. Don’t shoot until you see the whites of their eyes.

Signals I wait for: 80% of the checklist below

  • Session time : All executions and entry zones should be either during the London or Newyork sessions.
  • Premium & Discounted zones : The price should align both H4 & M15. Premium pricing for sells or Discounted pricing for buys.
  • Asia Sweep Liquidity (ALS) : Asia high should be taken when looking for sells or Asia low should be taken when looking for buys.
  • Demand / Supply reaction : If supply fails, demand is in control or If Demand fails supply is in control.
  • Trade Validation & Entry Model : The price should not be coming from a supply zone when looking for longs & vice versa.
    Pin Bars: Rejection wicks screaming “BUY/SELL HERE!

Example: “Sells”

  • At the Premium zone, EUR/USD forms a Bearish engulfing candle on M15 at London open. Price closes below the high of the previous candle. Go Short.
    The price had presented 100% of my checklist confluences indicating sells are of high probability.

Case Study: How a 4H Swing Low Delivered 200 Pips 

  1. 4H Trend: EUR/USD was Bearish (HH & HL).
  2. Premium Zone: Price retraced to a 4H premium level (a prior battle zone).
  3. M15 Signal: A massive bearish rejection candle formed, with a big body (buyers rejected).
  4. Result: Price rallied 130 pips to the swing Low

Why it worked: The price had not printed any bullish signs. Big money stepped in at the supply zone before retail traders noticed. H4 & M15 had aligned well.


The Golden Rule

“Trade the 4H tide. Enter on the M15 ripple.”

Mistake to avoid: Jumping in early because of FOMO. Wait for the M15 to confirm the 4H bias & 80% of the checklist.


Next: How to avoid fakeouts (the dirty secret of swing highs/lows)…

Section 4: Common Mistakes to Avoid – The Landmines of Swing Trading

Let me tell you three stories of how I blew up accounts—so you don’t have to.


Mistake 1: Fighting the 4H Tide

“The market doesn’t care about your opinion.”

I once shorted EUR/USD in a strong 4H uptrend because “it looked too high.” Price ripped up 150 pips. My account? Gone.

Why it fails:

  • Trading against the 4H trend is like swimming upstream in a hurricane.
  • Banks always defend the trend. Retail traders get crushed.

Pro Fix: If the 4H has higher highs/lows, only buy dips. If it’s bearish, only sell rallies.


Mistake 2: Marking Swings Like a Drunk Cartographer

I used to label swing highs/lows based on wick spikes instead of candle closes. Disaster followed.

Why it fails: Wicks are traps (stop hunts). Closes tell the real story.

Pro Fix: A swing high/low is only valid if the candle closes beyond the prior structure.


Mistake 3: Trading When the Market is Sleeping

The Asia session (4 AM – 9 AM London) is a ghost town. Price moves in ranges. I’d enter trades here, only to get reversed at London open.

Why it fails: Low liquidity = algos playing ping-pong with your stops.

Pro Fix: Trade only during London/New York session (10 AM – 6 PM EAT). That’s when giants move markets.


“Mistakes are tuition. Pay once, learn forever.”

  1. Respect the 4H tide.
  2. Mark swings with closes, not wicks.
  3. Trade when the market’s awake.

The Artisan’s Last Word

Swing trading isn’t complicated. It’s about clarity, not cleverness.

  1. Use horizontal lines.
  2. Wait for premium or discounted prices.
  3. Trade like a sniper, not a gambler.

P.S. This checklist saved my career. It’ll save you 4 years of pain. Grab it. 🛠️

FAQ Section: Answers to Your Top EUR/USD Swing Structure Questions

1. “How Many Candles Define a Swing High/Low?”

Picture this: I’m hunched over my laptop in 2022, marking swing highs after every single peak on EUR/USD. Result? A blown account.

Here’s what I learned:

  • valid swing high needs a pivot like high with a 40+ pip pullback.
  • valid swing low needs to take out the previous (HH) with a body closure.
    Even a single 40+ pip candle can validate a swing point.

No more guessing.


2. “Can I Use This Strategy on GBP/USD?”

Short answer: Yes, but…

I’m testing this on GBP/JPY in 2025. It’s working—but adjust for personality:

  • GBP/JPY is wilder (bigger spikes, faster moves, High pip value).
  • Use wider stops.
  • Focus on London & Newyork session  (its “home turf”).

Pro Tip: Stick to major pairs (EUR/USD, GBP/USD, GBP/JPY). Avoid exotics—they’re riddled with bank traps.


3. “What’s the Best Indicator to Confirm Swing Points?”

I used to stack 10 indicators on my chart. Now? Zero.

The best “indicator” is:

  • Price closing beyond a swing high/low (the ultimate confirmation).
  • Volume spikes (if your broker shows it).

Keep it stupid simple.


The Artisan’s Rulebook

  1. Swings need 3 candles—patience pays.
  2. GBP/JPY works, but respect its temper.
  3. Price > Premium or discounted. Always.

P.S. These answers come from 4 years of scars. Skip the trial-and-error era—stick with me. 🚀

Conclusion: The Quiet Art of Trading – How Structure Became My Compass

Let me leave you with a truth no guru will admit:

Trading isn’t about winning streaks. It’s about staying alive. Last quarter’s 50R+ win? The trades weren’t fireworks—they were breadcrumbs left by the market, showing me where it wanted to go.

Here’s what changed: I stopped chasing the storm and learned to read the wind.

This isn’t luck. It’s structure.


The Quiet Rules That Saved Me

  1. Trade like a gardener: Plant seeds (trades) only in fertile soil (4H swing zones).
  2. Watch the seasons: Trends are rhythms. Don’t harvest (take profits) too early.
  3. Respect the drought: When markets sleep (Asia session), put your tools down.

Your Next Move

👉 [Grab My Free Entry Checklist Here] 👈
*This 8-page PDF is why I went from blowing accounts to funding prop firms.*

Want my Daily Chartwork?

👉 Join 350+ traders in my discord from around the world. Everyday, I send:

  • EUR/USD swing zones for the week.
  • 4H/M15 alignment tips.
  • Zero spam. Just alpha.

Final Truth

Swing highs/lows aren’t “levels.” They’re conversations between fear and greed.

Your job isn’t to predict. It’s to listen.

The market will teach you—if you let it.
Stop guessing, start mapping.

The swings will tell you everything.

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