USDMXN - HOW TO TRADE WEEKLY SIGNALS WITHOUT BREAKING THE BANKThe weekly trade signals are very powerful to trade but the weekly stop losses are so large it makes you trade very small size positions.
It takes a long time for a weekly entry to hit it's first target.
This technique takes that built up explosive energy in a huge weekly pattern.
But to trade a size that will make it worth while and to get in and out of the trade more quickly.
The weekly chart shows the week of Dec. 9th is the candle that triggered the trade.
It closed on Dec 13th at an ATR of .3457.
This pair moves a hugh amount of pips every day.
Weekly ATR = .3457
Weekly candle close entry @ 19.00
Weekly SL is 1.5 x ATR (.3457) = .5186 pip SL or SL @ 19.5156
Weekly 1st TP is 1 x ATR = .3457 pip TP or TP @ 18.65
Use the free trade size calculator at our TSG website under free tools.
Demo Acct Size $10,000 Risk Percentage 1% (open two positions of 1% each) & SL of 5186 pips =
You can trade 3.62 Micro Lots or 3 micro lot trade size.
You still watch weekly chart for breakout setup but use 1st Daily chart for SL & TP.
Your alternative option is to use the Daily SL & TP for the daily breakout candle close.
Dec. 9th Daily Close breakout candle.
Daily ATR = .1361.
Daily candle close entry @ 19.24.
Daily SL is 1.5 x ATR (.1361) = .2041 pip SL or SL @ 19.44.
Daily 1st TP is 1 x ATR = .1361 pip TP or TP @ 19.1039.
Free Trade Size Calculator - Demo Acct Size $10,000 Risk 1% with SL of .2041
You can trade 9.59 Micro Lots or 9 Micro lots.
Your Daily 1st TP is closer now also at 19.1039 which your are trading with 9 miro lots.
1st TP was hit on 4th day.
USDMXN 1W trade was tied up for 5 weeks with 6 micro lots without hitting 1st TP.
Use Weekly Chart Pattern Trade set.
But use 1st Day Candle Breakout Close for Trade Management data.
No reason to use full week numbers on a weekly trade signal.
This applies to all markets that you trade.
We often see big patterns on indexes and metals where you can use this technique to shorten your trades.
This also allows you to use a bigger size.
Much better to see your TP hit in a day or two.
