Saturday, 5 October 2019

Mainstay Forex Strategies for Beginner Trading

Trading is not like a long-term technique that requires the patience of traders in waiting for certainty of trading results. Positions are opened and closed on the same day, so that traders can get profit on the same day. Even if you get a loss, the loss experienced will not drag on. Such techniques are easier to help traders to quickly move on and focus on looking for new opportunities the next day. Perhaps, that is what makes intraday trading favored by many traders. However, there are so many forex strategies that can be applied, that often makes traders confused determining the mainstay of forex strategies.

Trend Following Following trends is often plotted as the easiest mainstay forex strategy in intraday trading. Basically, you can simply identify price trends on the chart and act accordingly. The trend following strategy that we discuss here is the recommendation of Roman Sadowski from Humble Traders, and only uses a combination of Exponential Moving Average (EMA) lines. The setup chart for this reliable forex strategy involves: EMA period 20 as fast MA EMA period 60 as slow MA EMA period 100 as a trend indicator Buy signals appear when EMA 20 cuts EMA 60 from the bottom up. If EMA 20 cuts EMA 60 from top to bottom, then it can be interpreted as a sell signal. On the other hand, EMA 100 can be relied upon as an accurate trend marker. If the indicator line moves convincingly above the price, then the market is dominated by a bearish trend. Meanwhile, if the EMA 100 moves below the price, the bullish trend is more dominant. EMA 100 which cuts prices from the bottom up indicates a change in trend from bullish to bearish, and vice versa if the EMA 100 crosses prices from the top down.

In the EMA 100 scenario that moves near or even close to the price, it indicates market uncertainty. Crossing EMA 20 and EMA 60 under such conditions should be watched carefully. Do not rush to follow up the crossing signal before the EMA 100 shows a clear change in the direction of the trend.

News Trading Price response to the release of a news that has a big impact is quite significant, so that it can present a large enough opportunity for intraday trading. In this case, it is very important for you to understand the rules of trading based on the news. Following the news release schedule on the forex calendar, and pulling the red thread of consensus, previous, and actual numbers of data is an ability that must be mastered by a news trader.

Entry considerations are strongly recommended to wait until the news has really slid and the initial effect is abated. You can wait about 15 to 30 minutes after the news release, then plan the entry position with price action. Cory Mitchell's simple NFP trading strategy, for example, encourages traders to wait 15 minutes before looking for a benchmark entry from inside the bar.

Scalping The basic idea of ​​scalping that seeks to profit from the smallest movements of prices is in fact already aligned with the principal application of intraday trading. With a low time frame reference and minimal but frequent profit targets, scalping is inevitably a reliable forex strategy, if you want to collect several times a day's profits.

There are various scalping techniques that can be used, among which are simple strategies with 3 easy steps: determine the direction of the trend, look for momentum, and look for exit levels according to risk management. Strategies that use the MA and CCI indicators can be listened to in full in the article: Simple Strategies for Scalping. In addition, there are also options for scalping indicators with ready-to-use trading systems such as: Instant Profit Scalper Scalping System 15 Pips SuperScalper Range Trading This one mainstay forex strategy focuses on the ease of trading on the sideways market, precisely when price movements tend to comply with support limits and resistance. If you have found that resistance support, then planning entry and exit positions is not too difficult.

Related Post

Post Top Ad

Your Ad Spot