Easy Forex Trading Strategy

There are many trading strategies that will prove to be successful if you follow them properly, and don’t let your emotions get in the way.

One particular easy forex strategy I used to use went as follows:

This is a brief summary of a simple forex trading system that did prove successful for me around 75% of the time.

One important thing you must do before you trade is look at the economic calendar for the day to see if there are any important announcements on that particular day that might affect the currency market. I always use the Euro/GB or Euro/USD for trades.

Use trading charts and set them up with candlesticks and use both the 5 minute and 30 minute time periods.
Have the periods setting at 41, and the moving average exponential as 10 and 26 on the 30 minute chart, and just the 10 line on the 5 minute chart.

You must always trade with the trend. Now on the 30 minute charts, when a green buy candle or a red sell candle actually touches the 2 Moving Average Exponential lines this is an excellent trading signal. The actual shoulders of the candle, not just the wicks, must touch, and preferably violate the lines. We want to see the candle or spanning the 2 lines.

It is OK if it takes more than one candle to join up the two lines but it must be the bodies of the candles overlapping each other, not the wicks. Enter the trade as soon as the candle joins/crosses the line and take your 10 to 15 pip profit as they arise.

You can use the 5 minute chart for trio trading where you look for 3 candles to completely clear the one MAE line, with the price of the lowest candle shoulder to the price of the highest candle shoulder to be at least 10 pips. Jump in at the start of the fourth candle. Be safe and take 10-15 pips when they arise.

By Des Ingham

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