-New Trader Strategy..

Here I will take a simple system and apply it everyday to the Forex market. By following along, I hope that you'll be able to use this as a guide for following your own trading system each and every day. But before you follow along, here is a little background on the system that I will be trading. Actually this syetem has been widely spread over the internet but I want to tell you that it really works. The first system I used for trading is the following system.

The Main Trend Is Your Friend

The main concept of the theory is to catch small trends during the day while avoiding fakeouts. Simple right? Wrong! It's easier said than done. I will be making my trades off of a 15 minute chart, but I will be using a 4hr. chart to give me my main trend. If my 4hr. chart is trending up, then I will only be looking to go long on the 15 minute chart. On the other hand, if my 4hr. chart is trending down, then I will only be looking to go short on the 15 minute chart. By looking at the main trend first, I will have a better chance for a winning trade by moving along with the current market direction.

4hr. Chart Settings:

• 5 EMA applied to the close
• 10 EMA applied to the close
• Stochastics (10,3,3)
• RSI (9)

After establishing the main trend , it's time to look for trade entries on the 15 minute chart. The 15 minute chart looks similar to the 4hr. chart, except for the fact that I have added a MACD histogram. The trade entry rules are simple:






The 15 Minute Chart

• 5 EMA applied to the close
• 10 EMA applied to the close
• RSI (9)
• Stochastics (10,3,3)
• MACD Histogram (12,26,9)



Long Signal:


• 5 EMA must cross above the 10 EMA (Indicated on chart by a black candle)
• RSI must be greater than 50
• Stochastics must be headed up and not in overbought territory
• MACD histogram must go from negative to positive OR be negative and start
to increase value. (We want to catch trends early so the MACD histogram
must be negative)





Short Signal:


• 5 EMA must cross below the 10 EMA (Indicated on chart by
a purple candle)
• RSI must be less than 50
• Stochastics must be headed down and not in oversold territory
• MACD histogram must go from positive to negative OR be positive
and start to decrease in value. (We want to catch trends early
so the MACD histogram must be positive)





Stop Losses

There is not a hard number that I use for a stop loss. Instead I use either the most recent swing low (for long trades) or the most recent swing high (for short trades) as my stop loss. Using the examples above, this is where I would place my stops:








In these examples, the stop losses were not that wide. However, there will be times when the most recent swing high or low is several pips away from your entry. This is where you must be careful. If the stop is too wide for you to keep within your money management rules, simply stay out of the market! Trust me, there will always be another trade later. Even if that trade happens to win a gazillion pips, you should never compromise or doubt your decision to follow strict money management.


Happy trading

New trader Strategy

Have you ever got more than 2000 pips in a week ? I assume some of you have got it and I made it three years ago. The difference is I din't use any indicators because I had no ideas what they were...but I had to play...I had deposited my account.

I acted as if I was a real trader. And suddenly I had a "strategy" coming to mind :
At 00:00 GMT ( Luckly I live in a country where 00:00 GMT = 7:00 in the morning when all people will go working).

- I draw a horizontal line from the first tick of the day,
- BUY Stop 10 pips above the line.
- SELL stop 10 pips below the line for the same pair.
- Stop Loss 25 pips
- Take profit the next day.
- Trade as many pairs as I could ( I traded 10 pairs )
- Every day I made more than 200 pips from all trading, but the biggest one I got
from Brit/Jpn.

But I don't want you to do that ! That's only my "bad" experience last time. What I sometimes still do until today is:
- To draw a line on yesterday higest
- To draw a secon line on yesterday lowest.
- Easier to use daily chart.
- Buy Stop at yesterday higest
- Sell Stop at yesterday lowest
- Stop Loss 50 pips.
- Thats all.

Today on 7 June I made some pips from Brit/USD with that simple strategy. I traded just to refresh my mind and to prove that everybody can make pips with a very simple
tricks, including you. He...he...he...

You wanna do that ? Look at your chart and draw a line on the previuos day high and low, you will get the answer.

Happy trading

Krisman