forex trade: Choosing a Profitable Strategy

Profitable Strategy
How to choose a Profitable Strategy
Amazing Forex Strategy can be found alot now in internet. And we
become confused which one to choose because most of the owners
published they have the best one and they make profit, they make
pips.....and bla..bla.....bla..... Some of traders believe and
used it. You might also has tried to use some strategies event-
hough you never feel 100% happy, right ?

I think you have also tried a lot of them but still kept on
searching for the "holy grail". Don't do it ! We are not learning
phisics or mathematic, and you willl never find it because the real
fact we are facing the human behaviour who run their money in the
world markets. What can affect the markets now, tomorrow might be
different. What I can share you here is the way how you start
choosing a strategy ;

Simple

The strategy must be simple and could be used or practiced in a
very short time after you install into your chart. We can not
spend much time just to insatall the strategy everytime we start
trading. It will disturb your mind.

Validity

If you use a strategy, can it give you a valid signal or just a
wrong signal. We can check it by dragging your cursor back to
the previous time. Does the strategy release Signal ? You can
directly check out the performance since last year,week,day or
hour. You don’t have to use backtesting software to do it for you.
The strategy will tell you a good signal in the chart if it is
really profitable.

Intraday

Some writers said intraday trading could not be profitable because
economis situation or fundamental can not be changed only in a day.
And they bring us to the long trading (weeks ). To me..it’s funny…
how can you determine your stop loose in a week if the currency
goes against your direction. Can you spare your Stop Lose for 300
or 500 pips if the chart /currency goes against your direction and
wait until it reversal ? You can’t do that. The best one is
intraday and just make 100 -200 pips per day. That’s enough, you can
continue the next day. Don’t sacrifice your healthy life in fron of
your PC. It will destroy your emotion, attitude. Trading is simple
and don’t make it difficult.

Can you tell me one Simple Strategy here ? Why not.. this is a very
simple one but profitable and easy to follow . And Iam sure that it
has been widespread in many forums but most traders tend to search
a complicated one;

- 1H (of 30MIN, but you wil get wore whipsaws) candlesticks/bar charts
- 18 EMA & 28 EMA (put them in red)
- 5 WMA (in blue) & 12 WMA (in yellow)
- RSI = 21

The 18 EMA & 28 EMA are two red lines who form a tunnel, these will
help you to determine the start of a trend and the end of a trend.
Long term

The WMA & 12 WMA will show you when to enter a trend, they will also
help you to see the strenght of the trends. Short term

Entry Signals
You should only open a position, when the red tunnel is extremely
narrow or crossed !

LONG: 5 WMA & 12 WMA cross the red tunnel upwards.
If the 5 WMA also crosses the 12 WMA upwards, then the signal is
extra strong.
RSI >50

SHORT: 5 WMA & 12 WMA cross the red tunnel downwards.
If the 5 WMA also crosses the 12 WMA downwards, then the signal
is extra strong.
RSI<50

Exit Signals

Signals that show the end of the chosen trend
- Long: The price has reached a top and 5 WMA dives under 12 WMA
Close position

- Short: The price has reached a bottom and 5 WMA jumps above 12 WMA
Close position

Always close your position when boundry’s of the red tunnel cross
eachother or when they become so narrow that they are one! This is
a clear sign of a trend reversal. After you see this, close your
osition and open a new postion in the other way (If you were long,
close, open a short postion)

When in a trade and the 5 WMA & 12 WMA cross the red tunnel ->
Pay attention! As long as the red tunnel boundy’s doesn’t cross
eachother there is no problem, but often this is a sign that they will!.

Look at the chart,