ACCURATE FX STRATEGIES
This video presents a powerful trading strategy that works for many types of trading, including forex and volatility indices. The strategy involves adding moving averages, entry indicators, and using proper risk management. The speaker explains the specific indicator settings and how to take trades, including waiting for price to cross above or below certain moving averages and looking for specific crossovers in the MACD window. With this strategy and proper risk management, traders can potentially be profitable.
The Ultimate Trading Strategy: How to Make the Market with Proper Risk Management
Introduction: A Powerful Strategy That Works for Almost Anything You Want to Trade
If you’re looking for a strategy that works for almost anything you want to trade, then look no further. In this video, we’re going to show you a very powerful trading strategy that can be used for volatility indices, boomer crash, jump index, forex, and xps. While there is no strategy that works 100% of the time, with proper risk management and this strategy, you can make the market and come out profitably at the end of the week.
Setting Up Your Charts: Using Moving Averages to Identify Market Trends
Before we dive into the details of this strategy, let’s start by setting up the charts. As we’ve mentioned in our previous videos, we use moving averages to identify market trends. This is because you don’t want to trade against the trend. To set up your charts, add three moving averages: period nine with method exponential applied to close, period 50 with method exponential applied to medium price (black), and period 200 with method exponential applied to close. Apply the first and third moving averages to close, and the second moving average to medium price. Make sure the styles are visible.
Adding Entry Indicators: RSI, MACD, Bollinger Bands, and Moving Averages
After adding the moving averages, add the entry indicators. The first indicator you’ll add is the RSI with period one and marked levels. The RSI is important for entry levels. Make the RSI background color white. Next, add the MACD with the following settings: fast period 12, slow period 26, and signal period 9. Then, add Bollinger Bands to the RSI indicator with period 200, deviation 1.000, and shift 0. Apply it to previous indicators data. Finally, add a moving average with period 2. Remember to apply the moving average to the first indicators data.
The Entry Criteria: Trading in the Market’s Direction and Waiting for Confirmations
Now that we’ve added the entry indicators, let’s discuss the entry criteria. First, the market should be either in a buy or a sell direction. In this example, the market is in a sell direction. You want to see the red and black moving averages under the gold more than in the sell market. Once you see that, wait for the price to cross above the black moving average. Next, wait for the red moving average to cross above the black, and the price to close above the red. You’re now ready to take your trade.
For a sell trade, wait for the red moving average to cross back down below the black moving average. Both indicators should be below the gold moving average, and the crossover must happen below the gold moving average. Next, go to the MACD window and look for the moving average and MACD line to cross above the upper Bollinger Band. They must be above the upper Bollinger Band and crossing each other, just like the example in the video. Finally, look at the RSI. The crossover is happening inside the 80 and 91 levels, which means it’s happening in the overbought zone. Once the price and indicator have reached 80 and above and crossed outside the Bollinger Bands, take your trade.
Conclusion: Proper Risk Management and the Power of This Trading Strategy
In conclusion, this trading strategy is a powerful tool that can be used for almost anything you want to trade. However, remember that proper risk management is key, and no strategy works 100% of the time. By following the entry criteria and waiting for confirmations, you can make the market and come out profitably at the end of the week. Happy trading!
