This simple 5-step strategy will help you to facilitate trade while bringing you a steady income. For extremely successful trading is not necessary to complicate the strategy. In fact, a simple trading strategies have proven that they become more successful over time than a very sophisticated strategies. The reason for this paradox is that simple strategies easier to stick to and easier to implement.
1. Check the tendency of using your daily schedule. The schedule should inform you & # 39 with a market uptrend or downtrend.
2. Once you know what the trend is, check the fundamental news releases, which may affect your trading. Do not go to any of the following steps, if any major news releases for 2 hours after your trade. You can get the current economic news from the filing of your financial market.
3. If, within two hours after the transaction there is no news, follow your trading plan. For example, if the main trend has increased, looking for signals "buy" from your technical indicators and, on the contrary, when the main trend is down.
4. This is the most important step and your decision as to whether to enter into a trade. The overall strategy is to use the intersection of 4 EMA (exponential moving average) and 23 EMA on the 30 minute chart to decide to buy or sell. You have to use other measures, such as weekly summaries, stohastychnyya and MACD (Moving average convergence divergence) to confirm your trade. These indicators should also follow the trend and did not look like it does not matter. You can also increase trade in its favor by trading only during the sessions, with high liquidity and confirming the trend, using the 4-hour chart. If everything looks good, you are done!
5. The last step is to manage your money, setting the trade with a tight stop loss of about 35 points by using one of two methods focus on profit. The first method – use of the useful risk factor for awarding at least 1: 2, and the second – daily support and resistance.
As you can see, it should not be difficult for a successful trading strategy. Sprostsivshy trading strategy, your chances of a successful transaction significantly increased. This five-step strategy to help you achieve consistent profits with your trading.