How to trade five minute Forex strategy
Five minute Forex strategy
I have a full time yob, How can I trade Forex?
Hard, because we do not have time, we offer ourselves forex in our holidays. But this is always at the expense of something. In the worst case, it is family and friends, the more positive they are hobbies. Is it really, that complicated? Traders stories repeat, beginners always overdo it, face too much information, often irrelevant. They test the graphical systems, then price action, shuffle, and are back to the indicators. The most common mistake is that they are looking for an ideal opportunity. We dare to say that there is no such thing with any forex strategy. Most have already heard that it is not about entering the market, but about leaving, but it simply does not believe it. Until you start earning, at least as much as you do at work, you can not give notice. You have a mortgage. So why not start trading just five minutes a day and study psychology and money management for example 4 hours a week. Would not it be enough? If we say it is not about entry, how to enter and when? We put together a very simple forex strategy that everyone can understand. Its weakness is, of course, that it does not offer perfect inputs and also a lot of fake ones. How to start concentrating on RRR? If you start looking for an extremely positive win to loose ratio, then you can be hundred times mistaken. When you target 25 pips and risk 25 pips at the same time, you have to be at least 5 times on the right side of the market, and we do not count the spread and your psychology, and you’ll be at zero. What do you risk 25 pips and target 250 PIPS? This Forex Strategy is good for beginners and employed traders. We will need two indicators and a daily chart. This is the only way to get out of a spiral of time. Put your simple moving average 200, or a simple moving average for the trend and simple moving average 10 for inputs.
When to open position?
We look for a long position at a time when the price is above the 200 moving average. If the market is at this stage, let us pay attention to the moving average 10. We are now entering a more complex phase, namely waiting for correction – one-two-three formation respectively. This means that the market should first close under SMA 10-day moving average and then return to it again. The closing price is then our entry point.
When to close position?
You probably know when to take a short position. It is, of course, exactly the opposite approach. Therefore, the price must be below SMA 200-day average and formation one-two-three must occur, which closes under SMA 10-day average. So we should enter. But that is the least important, because we practically seized him on his knees. Now your brain and joint money management come into play.
I recommend the following.
The SL level is below or above the other end of the incoming candle,here be careful if the input candle was significantly smaller than two or three previous candles, omit such stores. Your first goal is what you risk, that is, the size of the trajectory – spread + spread. Beware, however, is not the goal where you should close a significant portion of the position or move the SL to the break. This is the level at which we will move the SL in half. Then it’s up to you. But we think there is no need to be afraid to bite a bigger bit when hungry. We recommend RRR 1:10, but you will also be better able to breathe with 1: 5 Do not move unnecessarily SL, the closest spike kicks you out of the market, and then the market will continue its course. Protect only your capital and no profits.
Every entry has the potential to end as a profitable business, it is just a matter of how much time it takes. Do not go for every store, do not go for day trading with 20-30 trades per day. Build a simple strategy that will give you a bit of logical input and work on money management only. People are leaving forex strategies because they are nervous about getting well. In months you will last to check the profitability of the strategy and whether the strategy suits.