9 profitable intra-day forex trading strategies you can use right now! They identify best forex traders strategies in teaching-day trading strategies that are tried, tested. They stick to a strict money management regime.
How do I find intra-day trading strategies that actually work? And Are there some day trading rules that will help me to trade forex, commodities, stocks? All you need to do is: set aside a few minutes of your day to tackle one of the following forex day trading strategies which I outline for you below. That’s the uncomfortable fact of life that marketers don’t like to speak of! And those few people are most probably trading with other peoples money, like traders working for a bank or a hedge fund.
That means the stakes are not as high for them, as they are for a person trading their own capital. There are intra-day trading strategies beginners can use to maximise their chances to stay in the game for the long haul. These can be use in most markets like forex, commodities or stocks. Awesome forex day trading strategies that are used successfully every day. The main chart patterns associated with these forex trading strategies.
How to manage your trading risk to stay in the game for the long haul. 1 The strategy seeks trading opportunities through the combination of fundamental and technical analysis. 2 It requires a trader to analyse the fundamental aspects of the traded currency to establish mid to long term trend first. Then it uses the price momentum, support and a resistance zones to spot market reversals. 3 The strategy allows to enter the market at low risk and provide a large profit potential through advanced money management.
4 All trades are planned in advance to give a trader enough time to enter the market every time. Most trades are placed as pending limit orders often executed during London’s session. 5 The strategy works well on all major US Dollar crosses. It generates between 1-5 signals per month. All trades are entered and held for anything up to several weeks depending on the price action and the market fundamentals. After establishing your bias and long term trend through Commitments of Traders report, it’s time to switch to daily charts and look for a price reversal phase. Has the market been clearly falling or rallying recently?
Is the weekly and daily stochastic showing overbought or oversold levels on daily charts? Is the price trading around major support or resistance zones? In the USDJPY chart above you can see four examples of the price being in a reversal phase. Weekly and daily stochastics are above 70 zone and the market has been in a substantial rally prior to that.
A trader should be marking this zone as bearish and switching to intraday charts to seek a bearish reversal price pattern. A trader will be marking this area as bearish and switching to intraday charts to seek a bearish reversal price pattern. Once again, the momentum is now overbought and the price is forming a clear resistance. A trader will be marking this area as bearish and switching to intraday charts to seek a bearish reversal pattern. The price declined and reached a support at 117 area. A trader will be marking this area as bullish and switching to intraday charts to seek a bullish reversal price pattern. The above setups will be attempted only in the direction of the trend established by the trader during a fundamental analysis.
The fundamentals were pointing to the downside in USDJPY. The first 3 setups would be considered and the 4th would be either ignored or entered as a counter trend position with a lower lot size. Fore more information CLICK HERE 2:The Moving average crossover strategy. Moving average indicators are standard within all trading platforms, the indicators can be set to the criteria that you prefer.
The 20 period line is our fast moving average, the 60 period is our slow moving average and the 100 period line is the trend indicator. How do I trade with it? And a SELL signal is generated when the fast moving average crosses below the slow MA. So you open a position when the MA lines cross in a one direction and you close the position when they cross back the opposite way. How do you know if the price is beginning to trend? Well, If the price bars stay consistently above or below the 100 period line then you know a strong price trend is in force and the trade should be left to run. The settings above can be altered to shorter periods but it will generate more false signals and may be more of a hindrance than a help.
The settings I suggested will generate signals that will allow you to follow a trend if one begins without short price fluctuations violating the signal. On the chart above I have circled in green four separate signals that this moving average crossover system has generated on the EURUSD daily chart over the last six months. On each of those occasions the system made 600, 200, 200 and 100 points respectively. I have also shown in red where this trading technique has generated false signals, these periods where price is ranging rather than trending are when a signal will most likely turn out to be false. The first false signal in the above example broke even, the next example lost 35 points. The above chart shows the first positive signal in detail, the fast MA crossed quickly down over the slow MA and the trend MA, generating the signal. Notice how the price moved quickly away from the trend MA and stayed below it signifying a strong trend.
The second false signal is shown above in detail, the signal was generated when the fast MA moved above the slow MA, only to reverse quickly and signal to close the position. We can immediately see how much more controlled and decisive trading becomes when a trading technique is used. There are no wild emotional rationalisation, every trade is based on a calculated reason. Heikin-Ashi chart looks like the candlestick chart but the method of calculation and plotting of the candles on the Heikin-Ashi chart is different from the candlestick chart.