Who’s online There are currently 7 users online. Submitted by Edward Revy on 80 20 forex 13, 2007 – 15:40.
Current strategy has won the hearts of many Forex traders. And why not when it has a great winning potential. Entry for uptrend: when the price is above 150 SMA look for RSI to plunge below 20. 30 – enter Long with a new price bar.
If at least one of the conditions is not met – stay out. Opposite for downtrend: when the price is below 150 SMA wait for the RSI to go above 80. Then if shortly after you see a Stochastic lines crossover above 70 – enter Short. Option 2 – using a trailing stop – for an uptrend a trailing stop is activated for the first time when Stochastic reaches 70. A trailing stop is placed below the previous bar’s lowest price and is moved with each new price bar.
Current trading strategy can be improved when it comes to defining the best exits. For example, once in trade traders may also try applying Fibonacci studying to the most recent swings. This way they can predict short-term retracements and make sure they will not be pulled out of the trade early and will continue pursuing profit targets at Fibonacci extension levels. Submitted by User on May 13, 2007 – 23:13.