EURUSD H4Price was in a consolidation phase at monthly support, showing that the sellers were failing to break through this level after 3 attempts. Price then broke out of the consolidation range to the upside creating a higher high into resistance. Then a pullback occurred to retest the previous range as new support to create a new higher low in the new uptrend, where then a continuation to the upside took place to make a new higher high next. Now that price has made a new high, will be watching for a similar scenario to create a higher low into previous key level resistance to retest as new support. From there a continuation of uptrend can be anticipated next.
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EURUSD-2
Where Euro turns?As you see if price breaks monthly A or C pivots (of Fisher's ACD system based on opening range) it usually turn at classic monthly R1, S1, sometimes reaching R2, S2...and very rarely S3, R3 (in case of extreme volatility as with covid or some major crisis). Why so? Bcs most American institutional traders use floor pivots for targets.
BUT keep in mind we are in the end of the month and June 2nd we will have new monthly opening range and new A and C pivots.
Today bullish move stopped at monthly R1. I suspect price will return to A pivot.
This system is great trading map.
BEST INTRADAY TRADING STRATEGIES - BIG 3 - 80 20 RSI - STOCHAST
Question: What is the best trading strategy for Intraday?
Answer: Intraday trading will take a great deal of your time. This is because you will be focusing on the charts all day that you will be trading. This type of trading requires a great deal of focus. Make sure the focus is one of your strengths. If you cannot focus, intraday trading will be extremely difficult for you to master.
KEY TAKEAWAYS.
Intraday is shorthand for securities that trade on the markets during regular business hours and their price movements.
Day traders pay close attention to intraday price movements, timing trades in an attempt to benefit from the short-term price fluctuations.
Scalping, range trading, and news-based trading are types of intraday strategies used by traders.
Here is a list of strategies that we have compiled that work well for intraday trading:
Big Three Trading Strategy.
RSI Trading Strategy.
Stochastic Trading Strategy.
Big Three Trading Strategy.
Trading Indicators list:
20 Period Simple Moving Average.
40 Period Simple Moving Average.
80 Period Simple Moving Average.
Step 1 Apply Indicators to Chart.
You can make them green, blue, red, pink, etc. The color is your personal preference.
Again these are 20, 40, 80-period Simple moving averages. These are the best trend forex indicators and will help you determine trends and every time frame.
After studying charts and applying different moving averages, we discovered these three work very well together for this strategy. This is why we called them the big three 😉.
Step 2 of the best three trading indicators strategy: The Trend… Up or Down?
Once your “Big Three” indicators are on your chart, go ahead and find a current up trend or downtrend.
To find the trends, simply look at where the price action is. Then determine if it’s above the moving averages or below.
If the price is above the three moving averages you have an uptrend:
However, if the price is below the three moving averages then you have a downtrend:
If the market is flat and the price action is not making a new high or low and just staying stagnant.
I would avoid this type of market because we are looking for a trending market, not a flat or “sideways” market.
Step 3 – Wait for the entire candle to close outside of Moving averages + Pull Back in Price Action + Continuation of Trend
Wait for the price close below the lowest moving average in a downtrend:
Or, Wait for the price close above highest moving average in an uptrend:
Once you see this occur, you wait for the price to pull back and then move in the direction of the trend to make your entry. To determine this you can either go to a lower time frame or stay in the current time frame. Ensure the entire candle closed completely below or above the moving averages.
The price action does not have to necessarily go back and touch the moving averages (which does occur). But you need to confirm there was a pullback in the price and then a continuation of the current trend.
I prefer to wait for a break pullback before I go because, statistically, the price will most likely retrace during a bearing or bullish trend.
For a more risky approach to this strategy, you could technically get in a trade right when the price breaks the highest or lowest moving average. But this method may cause more harm than good.
The reason is that not every time it breaks these lines it is headed for a strong up or downtrend.
Which is why you need to wait for a FULL candle to close above/below these lines. Wait for a pullback and go to enter the trade.
What happened?
✓ Broke the above the moving average lines.
✓A full candle closed above the lines
✗ Retracement and the continuation of trend = this did not occur so you would not have entered the trade! It did retrace, however, the price did not continue to go in the direction of the trend.
We need these three elements for the trade to occur.
Which is why we call this the “Big Three” Trading Strategy
Three different steps to find a trade and execute it.
Stop Loss/Take Profit :
Place your stop loss below the bottom moving average line. Depending on what time frame you are in will vary on how large your stop is.
Scalpers may have a tight 5-10 pip stop
While day traders will have a 30-50 pip stop
Your take profit is when the price touches the 80-period line. The price crossed this line at +196 pips!
You can tweak these rules as you wish. But we found the best way to push your winners with this strategy is to wait until the price touches the 80-period line.
Conclusion
Big Three Trading Strategy is fun to use and trade with. It is not very messy on your chart because there are only three little lines to look at. Our team believes this strategy uses the best three trading indicators that work well together.
The moving averages are arguably the most popular forex indicators.
80 20 RSI Trading Strategy.
RSI Adjustments:
14 period, to 8.
70 and 30 lines, to 80 and 20.
This indicator comes standard on most trading platforms. You’ll just need to make the adjustments above.
How to Trade with the RSI Trading Indicator
This indicator will be the only indicator we use for this strategy. This is because we have a strict set of rules to follow before entering a trade. And these rules will, without a doubt, validate a reversal for us to open a trade. Before you use this strategy, make the above following changes to the RSI indicator:
Step One: Find the currency pair that is showing a high the last 50 candlesticks. (OR low depending on the trade)
The 80-20 Trading strategy can be used for any period. This is because there are reversals of trends in every period. This can be a swing trade, day trade, or a scalping trade. As long as it follows the rules, it is a valid trade. We also have training for building a foundation before a forex strategy matters. In this step, we only need to ensure it is the low or the high of the last 50 candles.
Once we determine this low or high, then we can move on to the next step. I drew vertical lines on the price chart so you can see the 50 candle low that we identified. If you need to use horizontal lines on your chart to verify that the candle has closed the lowest the last 50, you can do so. This is not necessary but may be helpful for you to do and see how strong the trend is.
Step Two Using the RSI Trading Indicator:
When we find 50 candle low, it needs to be coupled with RSI reading 20 or lower. (If it’s high it needs to be combined with the RSI reading 80 or higher.). In our RSI chart we have a reading that hit the 20 line on the RSI and was the low the last 50 candles.
Once we see that we had a low, the last 50 candles, and the RSI is BELOW 20, we can move to the next step. Remember that this strategy is a reversal strategy. It is going to break the current trend and move the other direction.
Step Three: Wait for a second price (low candle) to close after the first one that we already identified.
The second price low must be below the first low. Although, the RSI Trading indicator must provide a higher signal than the first. Remember that divergence can be seen by comparing price action and the movement of an indicator. If the price is making higher highs, the oscillator should also be making higher highs. If the price is making lower lows, the oscillator should also be making lower lows. If they are not, that means price and the oscillator are diverging from each other. Which is why it’s called “divergence.”
Just because you see a bullish or bearish divergence, doesn’t mean you should automatically jump in with a position. We have rules in place that will capitalize on this divergence so that we can make a significant profit.
Keep in mind, that this step may take time to develop. It is very important to wait for this second low because it gets you in a better trade making position.
Price goes down/RSI goes up. That is the Divergence. Remember that our example is a current downtrend looking to break to the upside. If this was a 50 candle high, we would be looking at the exact opposite of this step.
Once this criterion has been met, we can go ahead and look for entry. This is because the charts are showing us that a reversal is coming soon.
Step Four: How to Enter the Trade with the RSI Trading Strategy.
The way you enter a trade is very simple. You wait for the price to head in the direction of the trade and wait for a candle to close above the first candle that you identified that was previously 50 candle low.
If you are struggling with this step, save the picture for reference. This will help guide you when looking for a trade.
Step five: Once you make your entry, place a stop loss.
To place your stop, bump back 1 to 3 time periods and find a reasonable, logical level to put your stop. You are looking for prior resistance, support.
We placed our stop below this support area. That way if the trend continued and did not break, it could hit this level and bounce back up in our direction.
I recommend you follow at least a 1 to 3 profit vs. risk level. This will ensure that you are maximizing your potential to get the most out of the strategy.
You can adjust as you wish. Keep in mind that most successful strategies that identify breaks of a trend use a 1 to 3 profit vs. risk level.
Stochastic Trading Strategy.
Step #1: Check the daily chart and make sure the Stochastic indicator is below the 20 line and the %K line crossed above the %D line.
We’re day trading, but having in mind the higher time frame sentiment and trend.
This is a crucial part of the strategy because we only want to be trading in the direction of the higher time frame trend.
The multiple time frame concept is important because it can give you a more robust reading of the current price action and more it can help you better time your entry and exit points.
Note*: On the daily chart, it’s not necessarily for the stochastic moving averages to be below the 20 level. They can be moving away from the oversold territory and the signal can still be valid, but it shouldn’t be above 50 level.
Step #2: Move Down to the 15-Minute Time Frame and Wait for the Stochastic Indicator to hit the 20 level. The %K line(blue line) crossed above the %D line(orange line). (Our chart was a 1H - it works too)
This step is similar to the previous rule, but this time we apply the rules on the 15-minute time frame: wait for the Stochastic indicator to hit the 20 level and the %Kline (blue line) is crossing above the %D line (orange line).
The 15-minute chart is the best time frame for day trading because is not too fast and at the same time not too slow.
It is said that the market can stay in overbought and oversold condition longer than a trader can stay solvent. So we want to take precautionary measures, and this brings us to the next step on how to use the stochastic indicator.
Step #3: Wait for the Stochastic %K line (blue moving average) to cross above the 20 level
We want to trade smarter, right?
Well, because the %k is the fast moving average it’s enough just to wait for it to cross above the 20 level because the %D line will follow suit. We don’t want to wait too much either as this will result in a reduced profit margin.
Right now is the time you should switch your focus to the price action, which brings us the next step of the best stochastic trading strategy.
Step #4: Wait for a Swing Low Pattern to develop on the 15-Minute Chart
What is a Swing Low Pattern?
A Swing Low Pattern is a 3 bar pattern and is defined as a bar that has one preceding and one following bar with a higher low.
Day trading stochastics: When to Enter?
This brings us to the next rule of the Best Stochastic Trading Strategy.
Step #5: Entry Long When the Highest Point of the Swing Low Pattern is Broken to the Upside.
So, after following the rules of the Best Stochastic Trading Strategy, a buy signal is only triggered once a breakout of the Swing Low Patterns occurs.
Step #6: Use Protective Stop Loss placed below the most recent 15-minute Swing Low
You want to place your stop loss below the most recent low, like in the figure below. But make sure you add a buffer of 5 pips away from the low, to protect yourself from possible false breakouts.
Step #6: Take Profit at 2xSL
Knowing when to take profit is as important as knowing when to enter a trade. The Best Stochastic Trading Strategy uses a static take profit, which is two times the amount of your stop loss.
Note** The above was an example of a buy trade using the Day trading with the Best Stochastic Trading Strategy. Use the same rules – but in reverse – for a sell trade.
Conclusion for this stochastic strategy:
Day trading with the Best Stochastic Trading Strategy is the perfect combination between how to correctly use stochastic indicator and price action. The success of the Best Stochastic Trading Strategy is derived from knowing to read a technical indicator correctly and at the same time make use of the price action as well.
EURUSD: Two Months Of Consolidation!
EURUSD is stuck within a wide indecision range since 1st of April.
if you want to know where the pair will go next, the only way to clarify it is to wait for a daily breakout.
daily candle close will show the future direction of the pair.
for now we are stuck within:
1.1 is your resistance
1.078 is your support!
The Famous Setup [ Forex Profitable Pattern ] How to Predict A Trade Setup 12 Hrs in Advance
Here I'd like to present an Idea we like to call The Famous Setup
You will be able to predict which markets will move tomorrow.
You can do this by looking at your charts at the close of the London Session.
And still, be able to know which pair you will trade tomorrow at Frankfurt Open
EURUSDHI Traders
So last week i have posted an analysis on FX:EURUSD and it hit our target and trend line which is at price 1.07800 acting as support since FEB But this week at this point there are two possibilities.
Scenario One:
Eu could test Resistance trend line which is at price 1.09881
Scenario two:
Wait for eu to break it Support trend line 1.07800 retest then our target is 1.06559
FR US yields vs EURUSDInterest rates are crucial in the movement of currencies. The blue is EURUSD. Those things are not 100 percent correlated but it is something that needs to be paid attention to.
In this post I will demonstrate the relationship between French American bond yields (interest rates) differential and EURUSD.
We use 2 principal yields 2 yearly and 5 yearly composite differential.
As you see, once the yields differential hits the resistance or reversal level (here we use DeMark and Camarilla reversal levels) - there is a reaction in EURUSD. EURUSD keeps moving some 30 pips more (fakeout?) and then turns as well.
On weekly differential chart we see that the differential is at 0 level after a poor bullish breakout. There is also fractal pattern in play.
We also see DeMark monthly pivot squeeze on 60 min (DeMark squeeze predicts volatility and turns in the markets).
You may also use German yields instead of French ones - not much difference actually.
Both American and European yields are in their lowest levels. German ones dropped below 0.
Forex Weekly Forecast 11th-15th May 2020 (Majors and Minors)Welcome to Profitlio Trading!
What's up traders! Thanks for Jumping back on my Analysis, Traderchamp is here on your Service, Also hit thumbs up and support the work.
Take a look on my Weekly Forecast and How I planned my added watchlist for the week ahead! Feel free to drop in your comments right down below and share this with your friends! But still Sketch up your own trade setup before you take off. Good Luck!
Profitlio Trading ( Since 2014 in Financial Markets )
________________________________________________
Traders Disclaimer: Non of our analysis or trade setups being shared here on tradingview is a trading advice. As we keep on weekly updates with our predictions and expectations. We may take them as a trade only if trade setup meets the required criteria ( Confirmations ). Unless we will never take them as a trade if it never reach our trading requirements.
Take them at your own risk as trading is highly risky and you may loss your investments. Our trades are based on Swinging and Mid to long term approaches. All trades executed will be handled under the name of Profitlio Trading only.
Interaction of trendsIt is interesting to study trends and how they interact because the price level of any security is influenced simultaneously by different trends.
Hence, why we need to note some application of trend classifications as it applies to trend interactions.
1. When we see any specific price pattern, our first question should be: Which type of trend is being reversed? If it is a short-term trend that is being reversed, then we would not be expecting much price movement when compared to an intermediate or primary trend being reversed.
2. Since intermediate and primary trends dominate price action, traders who deal with short-term trends should pay attention to these trends. They can help them in making good trading decisions.
3. When a trade is positioned in a countercyclical position to the main trend, trading losses usually happen. I do not say that trading with countercyclical positions to the main trend do not succeed, but they have a higher probability of resulting in failures. I trade countercyclical positions sometimes, but I am careful. I usually want to see the patterns having high volatility or being well pronounced. Below is an EURGBP chart showing a two bar reversal that did not move much because it was countercyclical to the main trend which was a downtrend.
How to filter out the noiseIn this post I will demonstrate one of the techniques that you may use to filter unnecessary noise from the chart.
For that purpose we will use Three Line Break charting (invented in Japan) along with a Japanese trend indicator Ichimoku Kinko Hyo.
Line break charts were developed in Japan and popularized here by Jewish American author Steve Nison (the man who revolutionized technical analysis by introducing Japanese candlestick charting techniques to Western traders) in his book "Beyond Candlesticks" (2009). In that book, Steve Nison unveils the mysteries of four more of Japan's most closely guarded financial secrets - Kagi, Renko and Three-Line Break charts.
Three Line Break charts show a series of vertical green and red lines (bars); the green lines (bars) represent rising prices, while the red lines (bars) portray falling prices. Prices continue in the same direction until a reversal is warranted. A reversal occurs when the closing price exceeds the high or low of the prior two lines (bars).
The green and red bars on the price chart are called “lines”. Second, line (bars) changes are based on closing prices, not the high-low range. Third, Three Line Break charts evolve based on price, not time.
Each new closing price produces three possibilities:
1 A new line of the same color is drawn when the price extends in the same direction.
2 A new line in the opposite color is drawn when the price change is enough to warrant a reversal.
3 No new lines are added when price does not extend the trend or the change is not enough to warrant a reversal.
Good luck!
Roman
IC Finance
How to identify global trendHello Traders!
To find out if price is in bullish or bearish global trend a half year ACD should be applied.
Only half yearly Initial Balance can do this.
Conditions:
If weekly price stays primarily BELOW HALF YEARLY OPENING RANGE (INITIAL BALANCE - IB ) AND in-between IB and lower A-PIVOT = BEAR MARKET
If weekly price stays primarily ABOVE HALF YEARLY OPENING RANGE (INITIAL BALANCE - IB ) AND in-between IB and upper A-PIOVOT = BULL MARKET
If price moves into the opposite zone and manages to stay (!) there for a few weeks (time factor, spike is not enough) then a trend change is on the way in the next half year.
As you can see EURUSD´s macro trend is BEARISH and we already broke half yearly A-PIVOT.
Fisher describes Opening Range ( IB ) as FULCRUM. It holds the market. Without it things collapse.
And as you see Half Yearly A-PIVOT breakouts are MASSIVE! One can not detect those by applying yearly opening ranges.
Also here, you can often observe similar loop post-breakout patterns as with yearly A breakouts.
I hope this technique will save you from many loosing trades! God bless!
GOOD LUCK!
A-pivot breakouts in EURUSDA-pivots (called A-UP and A-DOWN) are calculated using the opening range (OR - that is where price "belongs") often referred as Initial Balance ( IB ), in our case - monthly opening range. You can find the formula in Fisher´s book.
Red lines are opening range (the range of first 2 or 3 trading days in the beginning of month). Then one multiplies a specified distance (certain number of ticks above below OR) from opening range to get A-pivot level. I am not sure about the exact formula but ACD indicators do it automatically.
Opening range ACD strategy is usually applied to day trading but it is interesting to see how EURUSD reacts when those A-pivots are broken on monthly.
In relatively smooth downtrends price nearly always forms this peculiar bow-loop pattern, returning back to where it broke. Sometimes such bows or loops are formed twice a month.
This is not observed in strong trending market (you can flip back) but still even then price uses those levels as support - resistance.
The fact that price keeps returning back to monthly A-pivot means there is no strong trend yet.
GOOD LUCK!
weekly recapDISCLAIMER Any opinions, news, research, analyses, prices, or other information contained on this website is provided as general market commentary, and does not constitute investment advice. i will not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance on such information
Hello guys , this was one of best weeks ever in forex trading, i hope you guys did also good this week.
1ste T ake the weekend to rest.
2nd look to my posts from this weeks, send me dms about your questions, comment under my charts.
3th THANKS FOR ALL THE DMS I GET , APPRECIATE IT GUYS
4th TIP of the week= DONT OVERLEVERAGE
5TH and last one if you liked my charts please follow me
I want to share the results with you guys every week, all these trader under in here i got shared with you guys.
HAVE A GOOD WEEKEND YOU GUYS AND I SEE YOU NEXT WEEK.
risk is always 1%
pair------- sl ------- open ------- closed
us 30------- 150------- yes ------- 1%
usdmxn -------207 ------- yes ------- 6%
gbpusd -------36 ------- no ------- -1%
gbpchf -------33 ------- no ------- -1%
euraud -------56 ------- yes ------- 8%
eurusd -------12 ------- no ------- 3%
nzdchf -------30 ------- yes ------- 6%
gbpjpy -------100 ------- yes ------- 1%
nzdcad -------30 ------- yes ------- 1%
total ------- 24%
EurUsdHi Traders
First scenario
Eurusd might touch its first resistance which is at 1.09912 if it break then our next target is 1.11455
Second Scenario
Eurusd might touch its first resistance which is at 1.09912 it it fails to break then our next target is 1.07545
Note: This is not a investment idea its just my analysis
EURUSD | Descending Triangle & Key Levels..!!EURUSD (Update)
Forming Descending Triangle & Facing Trendline Resistance..!!
If Failed to Clear the Resistance, Expecting Major Support Retest & In Case of Breakout, It Might Test the Resistance (1.096*)
Please like the idea for Support & Subscribe for More ideas like this and share your ideas and charts in Comments Section..!!
Thanks for Your Love & Support..!