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Trading The Pivot Point

Trading with Forex Support and Resistance levels can be profitable. Downtrends can stop in their support and bullish trend can reverse when price trades into a strong resistance. And without information of support and resistance levels , Forex traders run a big risk of letting a winning trade turn into losing trade.

When Forex traders know a support and resistance level to be strong enough, traders will place their limit or stop orders nearby. When market price trades into this support and resistance of stops or limits, the flow of stop and limit orders for Forex market can become affected, causing price reversals.

The Pivot points , Forex traders still needded a method of keeping up condition price was expensive or cheap on a relative basis, and from a easy calculation , pivot points were born.

Forex trades just took the Open, High, Low and close price from the previous period and divided by 3 to see the pivot point. From this pivot point calculation, Forex traders would then base their calculations for three resistance levels and three support levels.
Trading The Pivot Point
As market price move to these levels, Forex traders would for expected market price reversal, and when market price did not reverse, they could find to trade breakouts from these market price in the direction of the breakout.

Pivot point types

The Forex Pivot points using the previous days open, high, low and close price are counted daily pivot points since it was the previous days market price activity that created the resulting resistance and support levels. Forex traders will also put support and resistance level for various time frames.

Forex traders can also use the prior week or month's open, high, low and close prices as well. Line many type of Forex technical method, longer term inputs can often bring more interest just because Forex traders may be seen by more Forex traders in consideration of longer term analytic.

How to use Pivot points to determine profit targets.

A purpose of Forex pivot points is as a level for Forex trader to find to take profits. The reason being that market price moves may possibly reverse, offering the forex trader and chance to long position into the same market trend later at a better price, while also optimizing their shorter term profit on their trading position.
Trading The Pivot Point
Forex traders can even scale out approaches based on Forex pivot point areas. When a buy position is being made, multiple limit orders can be plot along each of the three resistance levels, for sell positions limits being plot at each support level.

Pivot point Breakout
Forex traders try to concentrate their Forex trading action to the more volatile times in the Forex market when the possible for big moves may be elevated. Forex traders may try to find at breaks of support and resistance level as a chance to entry a trade in a fasr moving Forex market. This can be relevant for longer term Forex pivot point levels, with special concentrate being paid to the monthly and weekly Forex pivot point levels. The image below will show how a Forex trader can plot a pivot point breakout trading system.
Trading The Pivot Point
Pivot Point Reversals

When price is testing a resistance area, it is only after some semblance of a bullish trend. When market price is testing at support area, well market price has gone decline.

While it may be potential to try to long cheaply or short expensive, Forex traders want to be positive to properly assimilate the chart to make sure that such an potential warrants the risk. Multiple time frame analysis can bring considerable benefits in this case. When a forex trader find a longer term trend on weekly chart, trader may find to open long position if a daily support level becomes tested. This may gice the chance to long cheaply affording the forex trader the potentially to plot a stop inan effort to contain the potential damage of losing trades.

Previous post Wait For Your Entry Signal to Trigger

Wait for Your Entry Signal to Trigger

Forex traders get themselves entering trades ahead because they anticipated that their entry signal might take place. They wanted to enter treading early in the hopes of catching more profits. For bigger opportunity Forex trading, wait until our trading entry alert does occur. This lack of discipline and patience can take several forms : for instance, not waiting for actual entry trading signal take place in the case of using a Forex trading indicator or, not waiting for a break of resistance or support.
Wait for Your Entry Signal to Trigger
Let's learn on the MACD Forex technical indicator.
In this system we only to take entry trading in the direction of the market trend on the daily time frame chart. Do not let the Moving average convergence divergence MACD indicator decide the direction of the market trend for you. The Forex technical trading indicator does not know and understand the direction of the market trend! the Forex trader makes the filter of which direction to be entry trading based on the direction of the daily chart market trend. Once that is completed , then set the Moving average convergence divergence MACD indicator to determine our entry in the direction of the market trend ( daily trend ).

As market price action is below the 200 Simple Moving Average SMA Indicator Forex we know market is in a bearish trend, it is trading lower lows and lower highs and the GBO in the chart above is weaker than the JPY Japanese Yen.

Based on this analysis, we know we want to sell the currency and for entry signal we will use a MACD Moving Average Convergence Divergence indicator crossover on the 4 hour chart. In the black circle , we can see that the MACD Moving Average Convergence Divergence line is traded to crossover the blue signal to the downside. And then we want to wait for Moving Average Convergence Divergence MACD technical forex indicator line to fully crossover the signal line before entering the trade.

For discipline and patience part of Forex trading. Waiting for the crossover signal to arise before entering the trade. There is a bigger opportunity that the trade will work out if we wait for the crossover signal occur.

Previous post
How to trading after a strong trending market

How to trading after a strong trending market

With the continuing strength of trending market, Forex traders are disappointed because they missed the first move and confused how they can open position trade to take benefit of trending currency pair.
How To Trading After a Strong Trending Market
A Forex trader must be understand , open trading position with frustration is not a right strategy. There is a way a Forex trader can entry trading position this currency pair. You can open sell position the currency pair back in the trend direction after market price retrace at a Fibonacci level. The point is we can waiting for the retracement to occur before selling the currency pair.

Should the Foreign exchange currency reverse and touch at a Fibonacci level , for "prove" that the Forex currency pair is testing at a Fibonacci level a Forex trader would look for long tail or wicks above the candlestick bodies along the Fibonacci level. Evening star candlestick pattern, Spinning tops or Doji candlestick patterns could be extra verification that the reversal is potentially coming to an end.

Alternative entry system would be waiting for the currency pair to trade or move in a range, and take a sell position should the currency pair trade under its previous low. when Foreign exchange price action can trade below the previous low , which in this example happens to be an all time historic low , chart presents that the sellers are really back in control of this Forex currency pair. If a Forex currency pair is trending strongly to the upside, our trading system simply would be reversed.

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Elliott Wave Oscillator Mt4

Elliott Wave Oscillator Mt4
Elliott Wave Oscillator Mt4 Indicator Elliott Wave Oscillator Mt4.
Trading Forex With Elliott Wave Oscillator Mt4. There are a seemingly infinite amount of ways to trade the forex market. There are thousands of indicators which you can use to create many mechanical forex trading systems.
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Elliott Wave Trend Indicator
Elliott Wave Trend Indicator Elliott Wave Trend Indicator
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Previous posts Accumulation Distribution mq4

Accumulation Distribution Mq4

Accumulation Distribution Mq4
Accumulation Distribution Mq4 Indicator is determined by the changes in price and volume.
Accumulation Distribution Mq4 Trading Strategies - Is it Good Or Bad?. If you have little bit of experience with with forex markets, you will know that the common advice is to always trade in the same direction as the overall trend. However I observed that some traders go for Accumulation Distribution Mq4 trading strategies against the trend to generate the really big profits, but let us see if this is really a good idea.

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Previous post ATR MTF


ATR MTF ATR MTF Levels Indicator. ATR MTF has shown to make a huge difference in forex tradings in recent years. It was recently estimated that over a full quarter of all traders are currently using ATR MTF Average True Range Multi time frame in their tradings. As this trend continues to bolster quietly among traders, it's evident that it's the future of forex trading. If you're new to or are unfamiliar with Average True Range ATR Indicator, you can download ATR MTF in the following link.

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Previous post BBands Stop Indicator

Bbands Stop Indicator

Bbands Stop Indicator
Bbands Stop Indicator Bbands Stop Indicator Ratio. Forex Bbands Stop Indicator Trader - How To Trade The Bbands Stop Indicator. The Bbands Stop Indicator trader will use Bbands Stop Indicator and study of the price in his trading charts to decide on the next line of action. Where the trader cannot afford the luxury of time to consider too many trading indicators during trading, it is bollinger bands analysis that is a powerful indicator to help him earn consistent profits in forex trading.

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Previous post Gann Trend Indicator

Gann Trend Indicator

Gann Trend Indicator Gann Trend Indicator

Gann trend indicator swings . Gann indicator Forex - Enter the goldmine with Gann trend indicator. There are plenty of indicator Forex available to the Forex trader. And, plenty more will be launched in the very near future. Today, what grabs most of the attention of Forex traders and brokers engaged in foreign currency trading is Forex trend indicator. Gann indicator Forex is the most favorite Forex trading indicator.

Download Gann Trend Indicator

Previous post Best Forex Oscillator

Best Forex Oscillator

Best Forex Oscillator
Download Best Forex Oscillator indicator 3D Oscilator mq4

What is the best Forex oscillator indicator? 3D oscillator indicator is the best Forex indicator that can be your trading tool in Forex trading. You can download this oscillator indicator for free in this following link 3D Oscilator mq4

Learn How to Range Trading

Learn How to Range Trading
If you see the Forex EURGBP chart above, you can see that EURGBP has been moving in a range. To trade this EURGBP, you would only wait until market price moves down to the support area, and open long position with limit target below the resistance level and stop loss level below the support level.

When the market price is at the resistance area , you could open short position and place target limit above the support level and stop loss level above the resistance levels. Forex trader could ignore the last trend or the big trend from daily chart as long as the price moves in the range. In other word , you can open short position as long as market price doesn't close above the range and you can open long position as long as market price doesn't close below the range.

Ichimoku EA Mq4

Forex Trading Course with Ichimoku Clouds takes you on a revolutionary journey that will change the way you currency trade. Automated forex trading system based on the Ichimoku indicator. Expert advisor EA and Custom Ichimoku Indicator built for metatrader MT4. What is Ichimoku? The Tenkan Sen, The Kijun Sen, The Chikou Span The Senkou Span. Free download Indicator Ichimoku mq4 for Metatrader 4 and Metatrader 5. Please rate and review Ichimoku mq4 Indicator

Ichimoku Forexfactory

Forex Factory Ichimoku - Do you know what is ichimoku and you need to know more about it ? One other great location to visit is the Ichimoku Forum on Forex Factory. Ichimoku Kinko Hyo usually just called ichimoku is a technical analysis method that builds on candlestick charting. The Ichimoku Kinko Hyo or equilibrium chart isolates higher probability trades in the forex market. Ichimoku Kinko Hyo is a technical trend trading charting system that has been used by Japanese commodity and stock market traders for decades

Kst Oscillator

The know sure thing (KST) oscillator is a complex, smoothed price velocity indicator developed by Martin J. Pring. He developed the ultimate oscillator as a way to account for the problems experienced in most oscillators when used over different lengths of time. In technical analysis of securities trading, the Kst Oscillator is a momentum indicator that uses support and resistance levels. A bullish signal is generated when the KST, Know Sure Thing, rises above its moving average. A bearish signal is generated when the KST , Know Sure Thing bellow its Moving Average.

OBV mq4

OBV mq4
OBV was developed by Joe Granville and introduced in his 1963 book, OBV is stand for On Balance Volume, This indicator is a momentum Forex indicator that relates volume. OBV mq4 is very simple indicator. When the market price close lower than the previous close price , then the volume determined down volume. When the market price closes higher than the previous close price, the volume determined up volume. On-balance volume (OBV) is one of mt4 indicators.

Download OBV.mq4

Price Channel Indicator Mt4

Price Channel Indicator Mt4
Channel trading has become a popular strategy among Forex traders. With the use of the trendline, trading system becomes a very simple strategy. Although simple, channel trading is a strategy that is very accurate when compared to other trading strategies. To facilitate the trading channel, below are price channel MT4 indicators you can use. You just put it in your trading platform.

Download Price Channel Indicator Mt4

Trading with The Doji Candlestick Pattern

With the unique form, Doji candlestick pattern can be very easily identified. Because of doubts among buyers and sellers, doji candlestick has a very small body. Opening price and closing price are very close and relatively similar. Doji candlestick indicates the emergence of the emergence of a trend reversal in price movements.
Trading with The Doji Candlestick Pattern
One advantage of using a Doji candlestick pattern is a trader more easily determine the level of stop loss. Stop loss level can be placed a few pips above the high price or a few pips below the low price of Doji candlestick.

As an example chart below. Prices go down close to the line 200 SMA Simple Moving Average then appears Doji candlestick. Doji candlestick indicates the emergence of a potential trend turning from down to up. Traders can open a buy position with stop loss below the level of low price doji candlestick.

Although this strategy does not guarantee 100% profit, but this strategy gives the exact value between risk and reward ratio.

How to Build a Forex Trading Strategy

There are many method of building a Forex trading strategy. When we are trading in the Forex market , it is importance to have a accurate Forex trading system. The method of trading system and making profitable trade , may look attractive , but in real it is much more difficult. The Forex trader needs to choose which pair they are looking take advantages before they create a forex trading strategy.
Forex trading market is divided in 3 main situations : breakout trading, range trading and trend trading.
How to Build a Forex Trading Strategy
Range trading usually is occur during quiet markets. The resistance and support that determine ranges become broken when market price breaks out.
Breakouts trading can be very volatile and breakouts trading strategies need to be made separately than trend or rang trading strategy in regards to money management.
After a Forex trader has picked which market situation , then they need to choose which time frames they want to trade.

How to Entering the Trade

Now we start to sett how the Forex trader will be entering positions. As we mentioned before , resistance and support levels can determine range trading, thereby a Forex trader can use this as entry point in their trading system strategy.
How to Build a Forex Trading Strategy
After a Forex trader has determined the support and resistance levels , then they need to look a method to define the strength of market price moves. In this case we can use concepts of multiple time frame analysis and price action method to help Forex traders look that they can define how strong a trend.
How to Build a Forex Trading Strategy

Risk and Money Management

Risk management is the importance part in how to build Forex trading strategy. There are many Forex traders may win more often then they lose. In this section we talk about using risk and reward ratios in which the Forex trader stands to make more profits if their trading are right than they could lose if their trading are wrong.
How to Build a Forex Trading Strategy

When to use Your Forex Trading Strategy

The Forex market is trade 24 hours a day , The Asian session is usually traded slower price action, liquidity begins coming in from London session.
With adherence to support and resistance and less potential for big moves, may be better traded by focusing their entries on the Asian session, and support and resistance can be broken much more easily coming from London session.
How to Build a Forex Trading Strategy
The United States session is considered the overlap market, when both London and New York market are trading. The volatility high, as the potential for reversals can denigrate even the strongest range strategies.

Aroon Indicator Download

This article contains the mq4 metatrader file for Aroon Indicator and you can download the indicator for free. The Aroon Indicator was developed by Tushar Chande to measure trend strength and determine of a new trend. The purpose of Aroon indicator is to identify trend changes. You can download Aroon indicator full version, download free Aroon indicator for use in Forex trading.
Download Aroon Indicator

You can combine, download, and make indicator combination.

Aroon Indicator Explained - What is the Aroon Indicator? The Aroon Indicator is a famous technical indicator oscillator.

Aroon Indicator FormulaThe Aroon indicator can be calculated using the following formula

Aroon Indicator Formula

Aroon Indicator Formula. The Aroon Indicator is not common on all Metatrader trading software releases. Aroon indicator consists with two lines, Aroon down and Aroon up , Each is made up of two lines, Aroon Up and Aroon Down, each Aroon indicator line has its own calculation formula.
Calculation. The following formula is used to calculate Aroon indicator. Below are the formulas for the Aroon Up and Aroon Down.
Aroon Down Indicator Formula:
Aroon Indicator Formula
Aroon Up Indicator Formula
Aroon Indicator Formula
For calculating the Aroon Down and Aroon Up Formula, a certain number of periods is used. The period default for Arron indicator is 14 periods. It is also important to understand the formula used to calculate Aroon indicator.

A Simple Aroon Indicator - Read this article to learn all about the Aroon Indicator.

How to install Aroon MT4 indicators, Forex Indicators Guide - View how to install and run Aroon MT4 custom indicators. Step-by-step installation of MetaTrader4 Aroon indicators. Adding Aroon MT4 indicators to the MetaTrader4 platform

Aroon Indicator MT4

Aroon Oscillator - MQL4 Code Base: custom indicators for MT4. Aroon Indicator is calculated as the difference of Aroon Down and Up. You can download MT4 and MT5 Aroon indicator from the previous article. The Aroon indicator can be plotted to the Meta Trader platform improving your trading performance. You can simply follow this indicator as trading signals or you can generate a trading system using aroon indicator. You can combine any of technical indicators with Arron indicator into your trading system strategy.
Aroon indicator is a custom indicator used by many traders to identify :
- Whether the market is moving sideways
- Whether the market is trending and the strength of the trend .
Aroon indicator MT4 trades between 0 and 100 ( oscillator indicator ).
The below chart describes you the Aroon Indicator MT4. The red line shows the Aroon Down line and the blue line shows the Aroon Up line.
View how to install and run Aroon MT4 custom indicator. Step-by-step installation of MetaTrader4 Aroon indicator.
1. Close your Metatrader4 platform.
2. Put Aroon indicator into folder MetaTrader/Experts/Indicatorsr.
3. Run or open Metatrader4.
4. Aroon indicator will be available from the navigator window on the right sidebar , again under custom indicator or from the top menu: Insert -> Indicators -> Custom.

Example and definition of the Aroon indicator, including its description, formula and trading rules.

Aroon Oscillator – Learn about determines the trend strength, and uptrend, downtrend, or range-bound stock or futures market using Aroon oscillator.

Aroon indicator strategies

Forex currency trading daily strategy tips. In this post we will build simple trading strategies using Aroon Indicator.
1. Aroon Indicator trading strategy
A simple trading strategy using Aroon indicator technical analysis.
Entry rules
Aroon up ( blue line ) reaches the upper point and after Aroon Down ( red line ) reaches mid point.
Exit rules
Aroon down ( red line ) reaches the upper point and after Aroon up ( blue line ) reaches mid point
Stop loss
Place stop loss 20 pips
Aroon indicator trading strategy would have yielded good profitable trade percentages .
Aroon indicator strategies
2. Aroon Indicator Trading Strategy
The Aroon Oscillator is a trend indicator. It’s mean sell when bearish trend and buy when bullish trend. In this second strategy we will look at the following strategies for trading the Aroon Oscillator, The strategy has the option of giving signals when the Aroon indicator meet the criteria
- Open Long position when aroon indicator crosses above 0
- Open Long position when aroon indicator crosses above some value x
- Open Long position when aroon indicator crosses below 0
- Open Long position when aroon indicator crosses below some value x
Using the aroon indicator to trend trading, give good results. However, open long position when aroon indicator crosses below certain values can yield a small edge. May be useful in filtering out bad trades as we start to build out a strategy.

Aroon Indicator Trend Following Tool, The Aroon indicator anticipates when a security is changing from an impulsive move to a trading range and vice versa.

Download Aroon indicator, Aroon indicator allows you to anticipate changes in security prices from trending to trading range.

Aroon Indicator

Aroon Indicator
Example and method of the Aroon indicator, including its definition, formula, strategies, calculation, and its basic use in trading. Aroon Forex technical analysis indicator is like the Average Directional Movement Index ADX indicator, this indicator identify the trend strength, bullish and bearish trend. The Aroon Indicator has 2 lines , aroon up and aroon down. This indicator was introduced by Tushar Chandein 1995 to identify a new trend. The Aroon indicator is move between 0 and 100 and shown in percentage terms.
Aroon indicator, how to trade Aroon indicator in Forex, Aroon indicator signals explained in this article. Tushar describes the following trading signals :
1. If Aroon down under 50 signals that the bearish trend is weakening
2. If Aroon up under 50 indicates that the bullish trend is weakening
3. If Aroon down above 70 signals a strong bearish trend
4. If Aroon up above 70 signals a strong bullish trend
How to read Arron Indicator
1. Below zero signals a bearish trend
2. Above zero indicates a bullish trend
3. The farther Aroon indicator from the zero line , the stronger the trend

The Best Moving Average Indicators Ever

The Best Moving Average Indicators Ever
Moving Average based indicators are one of the many frequently used technical trading indicators in the forex markets.

1. iMA Cross
iMA Cross is an indicator that is calculated by taking the difference between a shorter-term moving

2. AMA optimized
The AMA optimized is probably the most well-known analysis indicator used by traders.

3. EMA Angle Zero
The most reliable and useful technical analysis indicator. EMA Angle Zero smooth the price data to form a trend following indicator

4. Fractal AMA MBK
Read about the different moving average indicator types often used by forex technical analysts to generate trading signals to establish and exit

5. LSMA Applied Price1
LSMA Applied Price1 indicators are one of the many frequently used technical trading indicators in the forex markets.

6. 4PMA
The 4PMA moving average is a technical indicator that can be useful when used in conjunction with other indicators.

7. JMA Slope MTF
JMA Slope MTF are one of the most popular and easy to use tools available to the technical analyst.

8. MA Details
MA Details crossover is employed to indicate the common value of a security over a specific time period.

MA ATR Technical Indicator is used for constructing a moving average with low sensitivity to price series

10. MTF MA 4H
MTF MA 4H is the simplest form of moving averages. Basically, a simple moving average is calculated by adding the last closing price of "x" periods
Posted in  on 21:43 by herman |   Edit

Best Time Frame for Forex Trading

I have ever watched a pair of currencies at different periods of time, you've probably noticed that the market can move in different directions at once.

A moving average can grow in the graph of a week, giving a buy signal, but fall on the graph of a day, giving a sell signal.

You can also give us a sell signal in the one hour chart, but the price sinks to the 10 minute chart, telling us to buy What's going on?

Let's play a little game called ¿long or short periods?. The rules of this game are simple, the graphics will look and will decide whether to use graphics periods or short periods.
Chart 5 minutes.
Note the pair of EUR / USD 5 minute chart of 11/03/05 about 4pm THIS. It is moving above the simple moving average of 100, which is a sign of possible purchase, but look! The price broke and closed above the previous resistance, perfect for choosing a long term right?
Best Time Frame for Forex Trading
Wrong! Look what happened next. The price keeps going up a bit but then falls.
Best Time Frame for Forex Trading
Graph 60 minutes

Look the same graph but in a longer period of time. It is the same time of day. The pair moves above the simple moving average of 100, the last candle broke and closed above the last stand, all signs that the price will go up and you can buy. You decide to go long term ...

Bad decision! The pair fell back to its previous channel. The last candle fell while he could not even stay inside the chart Incredible!
Best Time Frame for Forex Trading
4 hour chart

In this 4 hour chart is still the same day and same time, only in a longer period of time. If you had seen this chart first, even you had rushed to go short or long in figure 5 or 60 minutes?

The price is in a downward channel, which is a signal to the low (bearish). The pair is touching the trend line up on the downstream channel, which is an extremely bearish signal. And it is above the simple moving average of 100, which is a bullish signal (bullish), but that channel makes us cautious. Especially be moving in the top of the trend line.
Best Time Frame for Forex Trading
Look what happened! The price fell miserably, respecting the channel. He touched the top and bounced violently.
Best Time Frame for Forex Trading
Daily Graph

Let a period of time, this time to the period of a day.
Looking at the graph, we see that the pair is moving downward very clearly. In this graph the trend seems really obvious. And if you look at the last candle, it touched the trend line up and returned. Not a good sign bullish. Let's see what happens next.
Best Time Frame for Forex Trading
Hallelujah! The downward trend continued!
Best Time Frame for Forex Trading
So what's the point?
These graphs show the same date and time. But they were different time ranges. You see now the importance of looking at multiple time frames?
If you use only the 15 minute chart for example and everything seems to be aligned, but suddenly change movements, you can never understand what is happening if you look at the charts with larger time ranges. The price may be playing a support line on a graph of an hour, which could not be seen in a 15 minute chart.

The longer the period of time, become more important support levels and resistance.

One of the major mistakes of beginners is to focus on only a graph of time, usually small. To avoid this, always use the charts longer time to visualize trends over longer periods.

Posted in  on 20:44 by herman |   Edit

Forex Chart Patterns

So far, you've got a number of weapons you'll use in your battles on the market. In this lesson, you'll add a new weapon: Patterns of Graphics!
Forex Chart Patterns
Think of patterns as a detector of minefields, because once you learn this, you will be able to see explosions in the charts even before they happen, making a lot of money in the process.

In this lesson, we will teach the basic patterns of graphics and backgrounds, which, when properly identified, usually carried large explosive movements.

Remember, our main goal is to discover great big moves before they happen to be able to jump on them and make money!

This is the list of patterns that we cover in this lesson:

symmetrical Triangles
ascending triangles
triangles down
double Top
false bottom
Head and shoulders
Inverse head and shoulders

Posted in  on 20:31 by herman |   Edit

Best MACD Forex Indicators

Best MACD Forex Indicators
MACD.mq4 This indicator is a valuable investing tool to identify buy and sell points.

newMACD.mq4, The MACD indicator refinements of the two moving averages system and measures the distance between the two moving average lines.

TSI_MACD.mq4 indicator is the most popular tool in technical analysis because it gives traders the ability to quickly and easily identify the direction of the short-term trend.

BB_MACD.mq4 Bollinger bands MACD indicator is used to produce or confirm buy and sell signals in the stock market.

ZeroLag MACD.mq4 indicator is one of the most reliable tools you can use as a Forex trader.

FX5_MACD_Divergence_V1.1.mq4 MACD divergence indicator is the most popular download in our free forex indicator library.

Digital MACD.mq4 is a trend following momentum indicator that shows the relationship between two moving averages of prices.

MACD_Divergence.mq4 One of the most popular and common indicators used by forex traders today, the MACD is a trend indicator used to gauge the strength and direction of trend

Impulse MACD.mq4indicator is a very powerful trend indicator which is very useful for traders.

TSD_PP_MACD_FORCE_Ind_v1.mq4 is the most powerful signals in technical analysis.

GMACD_Signals.mq4 indicator can be a useful tool when contemplating the risk ratio of a trade.

MACD_4in1_v2.mq4 is one of the most used trend-following indicators.

#MTF MACD X.mq4 indicator is one of the most popular technical indicators in the world, many traders use it.
Posted in  on 21:52 by herman |   Edit

Wave ABC Correction

The 5 waves proposed by Elliot trend are corrected and reversed by 3 against trends. Observe the following picture:
Wave ABC Correction
waves ABC
Just because we have used in the last example a market for buying does not mean that this theory does not apply to sales markets.

Waves within a wave

Another of the important things you should know about Elliot's theory is that the wave is made up of other small waves.
Elliot Wave waves

See how the Wave # 1 consists of 5 small waves of momentum and wave # 2 is formed of 3 small corrective waves? Each is always formed by small wave patterns.

As you can see, the waves do not fit perfectly in real life. Also learn that sometimes it is difficult to point them out. But the more you look at the graphics more expert you become.
That's all you need to know about the theory of Elliot. Remember that the market moves in waves. Now when you hear someone say "wave 2 is complete" you'll know you mean.
If you want to know more about the theory of Elliott Wave can enter.

Posted in  on 20:23 by herman |   Edit

Good Forex Trading System

As you can see we have all the components for a good trading system. First we decided that it is a changing system, which will trade only on the daily chart.
Good Forex Trading System
Then, we use moving averages to help us identify new trends as quickly as possible.

Stochastic helps us to determine whether a good time to open a trade after a moving average crossover, and also helps us avoid oversold or overbought areas.

The RSI is further confirmation that helps us determine the strength of the trend.

After discovering the operation with which we work, we determined the risk of each operation itself. For this system, we are willing to risk 30 pips in each operation. Usually, the longer the period of time to use, more pips you must be willing to risk because the gains will typically be greater than if working with a shorter time period.

Then we have clearly defined our rules of input and output operations. At this point, we begin with the testing phase of our system with a manual verification of results.

If we go back in time and look at this graph, we see that according to our system of rules, this would be a good time to open a long-term operation. To check, write the entry price, stop loss and exit strategy. Then we will move candle by candle, to see what the chart reveals.

In this particular case, you have made a massive gain pips. You can see that when the moving averages cross in the opposite direction is a good time to exit. Of course, not all operations will be as well. Some will look terrible, but you must always remember to be disciplined and stick to your set of rules.

In this example, we see that our approach has been finalized and at this point would open an operation in the short term. Now, we will keep the entry price, stop loss and exit strategy, then the chart will move a candle at a time to see what happens.

Not surprisingly? You can tell that we had stayed in this operation until the moving average RSI cross again to get back to 50.

We know you're thinking that this system is so simple, that not must be profitable. The truth is that it is very simple. You should not scare you with something so simple. In fact, there is an acronym, you'll see constantly in the trading world, and is: KISS. It means "Keep it Simple Stupid" (Keep it simple stupid).

It basically means that operating systems need not be complicated. No need have millions of indicators in your chart. In fact, keep it simple will give you less headaches.

The most important thing is discipline. Always keep clinging to your set of rules.
If you have tested your system in live demo account for at least two months, then you should feel confident with him as much as to feel that if you follow the rules, you end up with long-term gains.

Trust your system and yourself.
Posted in  on 20:15 by herman |   Edit