Simple Forex Strategy

Dear Traders. I found another very simple but very powerful system in my

Free Forex Systems library. It�s a free system and available for free on some

free Forex websites in different variations. I like it and I thought you may be

interested to try it.

Description:

Simple Strategy. Using Slow MACD Indicator & Fast Stochastic.

This strategy is very simple and successful but will not get you in at the

beginning of the move or exit at the end but will give a high success rate.

Setup:

Timeframe: Any

Currency:Any

MACD: 21 55 8

Stochastic: 8 3 5

How it works:

When the MACD Line and Signal Line cross, wait for the Stochastic to cross in

the same direction!! (Don`t trade if Stochastic in overbought/oversold

zones)If you are an agressive trader you can enter when the MACD and

Stochastic cross at the same time, otherwise once the MACD has crossed, wait

for the Stochastic to cross before entering. (The MACD must cross first)

Exit the trade when the MACD lines cross back.

 1 � MACD signal line cross 2 - Stoch crossed in the SAME direction 3 �

ENTRY POINT ( long in this case) 4 � Recommended Stop loss 3 pips below

the nearest (in this case) support level

Stop loss: Place a stop loss Recommended Stop loss 3 pips below for LONG

entries or 3 pips above for SHORT entries the nearest support (for LONG) or

resistance (for SHORT) levels

 source  fr Karl Dtm     by : sbudij

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Forex TRAPPING Strategy

This method is basically to do with what a pair moved like the previous 24 hour period.
In this, I will use the GBPJPY, but one could use it on any pair.

Method/Strategy:
You choose your own 24 hour period move - here as an example I will be using 21:00 to 21:00 GMT+1 (my local time).
Mark the High, Low and Close for selected 24 hours.

For example, the GBPJPY for the last 24 hours was: H 138.67 L136.00 and C 138.13
Now total movement was (high-low) 267 pips.

You set your Buy and Sell orders 25% of the 267 total move away from the Close price. Therefore, 25% of 267 pips is 67 pips, thus your orders would be:
BUY at 138.80 (Close + 67 pips)
SELL at 137.46 (Close - 67 pips)
Set your TP also only to 25% of the previous days move - in this case also 67 pips. In theory, if the chosen pair then move only 50% of the previous days total move, you profit ...
Set your SL levels 10 pips away from the opposite order.

Depending on what time zone you are in, I would suggest setting your orders before "your" market opens ... in my case it would be the London Market at 08:00 GMT.


source fr other fx blog's

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FOREX Trading Indicator

Forex - Slingshot Reversal Strategy

A slingshot reversal is a reliable forex trading pattern and is defined as a false breakout + reversal and occurs when a major support or resistance point is broken but the currency price does not hold below support or above resistance and moves back into it's previous trading range. The below picture shows a slingshot reversal pattern for the GBP/USD on the 1 hour chart.

On May 15th, the GBP/USD finally broke out it's trading range between 1.9845 (1) and 1.9762 (2). This break below support created a wave of new downside pressure as longs cut their positions and traders sold the technical break below support.


Then a slingshot reversal pattern took place as the cable sellers ran out of steam below 1.9733 (3) and buyers gained the upper hand, and very soon, the GBP/USD start gaining back above it's previous support level only to move higher to 1.9870.

How to trade the slingshot reversal pattern:

1) Try to identify important levels of support and resistance that many forex traders are closely watching

2) When trading 1 hour charts, wait for the market to trade 10 pips below or above the key level (either support or resistance); then put a stop entry order 10 pips above or below that KEY level.

In our case:

When 1.9752 (1.9762 - 10 pips) trades, place an order to BUY cable at 1.9772 (4).

3) If the order is executed, then place your stop 3 pips below it's previous low(3) at 1.9730.

4) Calculating your profit target for 1.5:1 risk-to-reward ratio:

Pips at risk: 1.9772-1.9730 = 42 pips. Here's our take profit target: 42 pips x 1.5= 63 pips (5)

Summary:

The forex slingshot reversal is a reliable pattern with a strong logic behind it because of it's effect on market positioning. Look for major support and resistance levels that could yield forex slingshot reversals. 

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