A CHoCH or Change of Character is when price shifts momentum, its a trend change, its a failure of EOF, its a failure of supply or demand (potentially)-
its best paired with a high value area such as an M15/H4 supply or demand continuation zone. An M15 CHoCH from an H4 zone is great- and M1 CHoCH from an M15 zone is great. A 5s CHoCH from an M15 zone can be great too.
Pairing it with a sweep of EQH/EQL or structure is amazing. So many ways to find high value areas and react to a CHoCH- figure out which ones speak to you the best and champion it. Master your setup and how you look for your CHoCH and how you execute from it. Just be consisten
CHoCH is a fancy term for a switch in trend via a BOS
HH & HL printing and then the HL is broken forming a LL - bear trend switch LL & LH printing and then the LH is broken forming a HH - bull trend switch.
If price is in a Downtrend it is making Lower Lows (LL's) and Lower Highs (LH's). After a Lower Low is formed we expect to see a Lower High form if the trend is to remain. If price instead breaks the previous Lower High and forms a Higher High; that would be a Change of Character (CHoCH). The character of the trend has begun to switch from Bearish to Bullish.
If price is in a Uptrend it is making Higher Highs (HH's) and Higher Lows (HL's). After a Higher High is formed we expect to see a Higher Low form if the trend is to remain. If price instead breaks the previous Higher Low and forms a Lower Low; that would be a Change of Character (CHoCH). The character of the trend has begun to switch from Bullish to Bearish.
