Learning Forex Strategies

AUDUSD bounced back from 200 MA

2018-02-15T00:18:00.000+06:00

AUDUSD pair in the daily timeframe. The price is now in an uptrend. If we draw a fib by last swing high and last swing low then the price is just resuming its uptrend from 61.8% fib level after the retracement.

This fib level coincides with 200 MA. This is a nice confluence of price action and indicator. I've entered the trade and now I have 50 pips profit. I've put my TP at the monthly pivot level. I believe price will reach the pivot level soon.

AUDCAD in Bullish mode

2018-02-14T23:54:00.000+06:00

AUDCAD pair in the daily timeframe. Both the 50 MA and 6 MA is directing upwards.

MACD histogram is also upward direction. It was a buy on the day before yesterday. Even then I've entered the trade with an expectation of 1:1 risk to reward ratio.

Let's see where it takes me...

I've entered the trade with the price being above the two MAs mentioned above. Let's see the price action with another setup.

Here price just crossed above the 200 MA and at the same time price is above the monthly pivot point. One point of this set up is still invalid. And that is, 20 MA is still below the 200 MA.

I've entered the trade with the first setup being fulfilled with a delay in entry. Entry level was 0.99023 with a stop loss at 0.9818.

180+ pips in USDJPY pair

2018-02-13T22:57:00.000+06:00

USDJPY pair in the daily timeframe. The price was under the 200 MA. So the trade I was looking for the short trade only. After moving down below to the 20 MA the price retraced back to 20 MA.

From the 20 MA price created a large bear candle. I didn't enter with that large candle. I waited for another two candle to enter. I've got out of this trade automatically today with 180+ pips.

I'm now demo trading and I'm active in three demo pairs on three different machines. I've also entered into this pair in another account where I now have 110+pips there. I've kept that trade open till now. Let's see where I can go?

Update of GBPUSD- probable long entry

2018-02-08T19:31:00.000+06:00

GBPUSD pair in the daily timeframe. As I said in my earlier post, the price is likely to bounce back from 61.8% fib level.

Now the price is creating bullish engulfing price action and at the same time crossing above 20 MA from below. If the price can close above 20 MA, I'm going to enter into this trade.

But the negative point is that on the higher timeframe, the price is approaching towards 200 MA from below which will be a dynamic resistance line for the pair. It has also completed the round bottom pattern in that timeframe. So the trade might be a little bit risky. Even then, I want to take the trade.

Update on 15th February 00:00 hours (+6.00 GMT). Price could not close above the 20 MA as I mentioned above.

Price is above the 20 & 200 MA and it is approaching towards the monthly pivot. If it can cross the pivot point and close above it, then I'll go for long.

Long trade in GBPAUD

2018-02-08T08:45:00.001+06:00

GBPAUD in the daily timeframe. Price is in an uptrend. I entered into this trade on 22nd January 2018 after the price crossing 20 MA line and at the same time being above the 200 MA.

I'm almost in 300+ profit. I've set a target for the trade to get out of the trade if I can't follow it. If I can follow the trade in time and if I find that it can move further then I might let the trade go further. Let's see what happens.

Happy trading.

Update: 8th February 2018

480+ pips profit taken by TP hit.

8th February 2018- EURUSD USDCHF GBPUSD

2018-02-08T00:59:00.001+06:00

EURUSD in the daily timeframe. Price is in an uptrend and crossed the 200 MA on the 24th April 2017.

Before moving upward, price tried once four weeks back and failed. Then after crossing the 200 MA, then it retested the MA again on the 11th May 2017.

Since then it's in an uptrend. Price is now retracing price is at 50% fib level if we draw this considering the latest swing low as one point. If we use the lowest low of this full swing then the price has another two levels at around 1.2086 and 1.1892 where price may get support for continuing it's prevailing trend.

Waiting for the trade to come.

USDCHF in the daily time frame. Price is in the downtrend and on the 11th January 2018 price again crossed below the 200 MA.

Price is now retracing back towards the 20 MA line and 38.2% fib level where both these parameter confluences.

With a sign of a resumption of the trend, I'll enter into this trade.

GBPUSD pair in the daily timeframe. Price is in an uptrend. Price is now retracing back a little.

The price just crossed below the 20 MA and which is near 61.8% fib level if we draw the fib connecting the latest two swing high and low.

This nice confluence above the 200 MA on the background of an uptrend, the price is likely to turn around and resume its trend. I'm waiting to catch the move.

Happy Trading.

Update on 15th February 2018:
I've entered EURUSD and USDCHF pair. I'll put a full update on the closing of my trade. Till then, bye.

Today's watch list- AUDUSD USDCAD USDJPY NZDJPY

2018-02-05T16:54:00.000+06:00

AUDUSD in the daily time frame. Price is now uptrend and it really crossed above the 200 MA on the 21st December 2017.

So now it's time for buy opportunity only. But Price is in an uptrend since April 2016 in the longer timeframe.

After the last upward swing, the price is in retracement and it's bouncing back from 38.2% fib level.

Price is now forming a piercing line pattern. If this candle can cross above the 20 MA today then it will be a buy signal and I'm going to enter into this trade right away.

USDCAD in the daily timeframe. Here the price crossed below 200 MA on the 12th June 2017.

Price again retraced back towards 200 MA but didn't cross above rather bounced back down on the 20th December 2017. Price is in a downtrend since April 2016 in the longer timeframe.

Now price is creating lower low and lower high. At this moment price went back above the 20 MA during its retracement. In this process, the price is creating dark cloud cover pattern price action. If it completes the pattern, I'll go for short here. Let's see what happens.

USDJPY in the daily timeframe. Price crossed below the 200 MA on the 10th January 2018. Price is here also creating lower highs and lower lows.

Price is bouncing back from 20 MA after retracing back to the MA. Price is also creating a dark cloud cover pattern price action. Price has almost completed the pattern, but I'll have to wait till the candle closes. So with the completion of the pattern, I would like to enter into this trade.

Negative points: Price is in sideways move in the longer timeframe.

NZDJPY in the daily timeframe. Price crossed above the 200 MA line 20th December 2017. While crossing above the 200 MA line, price broke the earlier downtrend.

After crossing the 200 MA, it retraced back to 200 MA and bounced back. Now it is becoming clearer that price is failing to create new higher high and higher low. But still, I'm going to follow this pair as long as it's above the 200 MA.

300+ Pips collected from EURAUD

2018-02-05T16:19:00.000+06:00

EURAUD in the daily timeframe. Price of this pair crossed above the 200 MA line from below on last week of April 2017. Since then it is on a slow uptrend.

I've entered after it crossing 20 MA line. I haven't entered immediately after the closing of the candle as it was on the last day of the trading week. I entered on the following day after the holidays.

I've reached my target in 3 weeks time. It was 320+ pips profit.

CADJPY - heading toward a triple top

2018-02-02T01:22:00.000+06:00

CADJPY in daily timeframe. Price is creating higher lows but failed to create a corresponding higher high in its last push upwards.

Price failed to cross the resistance level at 91.61 level. But the price is still above the 200 MA and the current candle is crossing above the 20 MA.

I'm planning for a buy at the close of the current candle above the 20 MA. I think for this I'll have to wait till next week.

Happy Trading.

AUDUSD- correction in daily timeframe

2018-02-02T01:07:00.000+06:00

AUDUSD in Daily timeframe. Price moved above the 200 MA and it is also above the 20 MA.

Price is now retracing back to 20 MA. I'm waiting for a buy after bouncing back from the 20 MA.

I'm going to go to buy at price 0.8140. Waiting for the entry point.

EURUSD is moving downwards

2017-10-24T23:35:00.001+06:00

EURUSD in the H4 timeframe. Price is in downtrend evidenced by lower highs and lower lows. Price is now moving upward after creating a swing low.

Price is hesitating at a fib level for last 1 day. Price also stays below 50 & 200 SMA. Now if price changes direction, the price will create another lower high on its way to create lower low. So if this happens, it will create a nice sell signal.

I'm carefully observing it. Happy Trading.

Buy signal at AUDCAD pair

2017-10-24T23:20:00.000+06:00

AUDCAD in the H4 timeframe. Price is in nice uptrend recently. In it's up trend it has crossed both the 50 & 200 SMA.

Trend bulding swing lows were showing nice candlestick patterns as marked in the images. In the current candle a bullish engulfing candle has been created just above the 50 SMA and created a higher swing low.

It's a nice entry point for a long position. Let's see what happens next.

USDJPY has presented me some good pips

2017-10-21T03:25:00.000+06:00

USDJPY pair in H4 time-frame. Price was in an uptrend this week.

I was monitoring the pair. When I saw the last corrective move down towards the 30 sma, I drew a fib level from lowest swing to the highest point of the swing.

At 50% fib level price action has shown two candlestick, one hammer and another is spinning top. 30 SMA was just below the two candle I mentioned in an upward direction. The buy triggered just after the completion of confirmation candle. It gave me a nice & successful 1:2 risk to reward ratio trade.

Happy trading.

GBPUSD pair is in nice sell set up

2017-10-21T01:57:00.001+06:00

GBPUSD pair in H4 time-frame. This week price was in downtrend. Price is approaching a bearish trend line. At the same time the 30 sma is around the same region.

Price is also around important fib levels starting from 38.2%. This means, price is at around a confluences of indicators and price action.

Waiting for an entry signal by price action at around this level. See you soon.

Missed a lot of pips at EURCAD

2017-10-21T01:46:00.002+06:00

EURCAD in the D1 time-frame. Price was nicely bounced back from the 30 SMA in a small uptrend.

Price action created a tweezer bottom at 38.2% fib level. At the same time it also created a bullish engulfing candlestick pattern where I put a buy stop order at 50% retracement level of long bullish candle. I missed the trade for only 4 pips.

Price has almost reached my target.

Happy Trading.

More failed engulfing candle trades

2017-09-08T23:41:00.000+06:00

EURJPY pair in the H1 timeframe. Price created a bearish candle below a resistance line created by daily pivot points.

I've entered a short trade at the closing of engulfing candle.

EURUSD pair in the H1 timeframe. Price was creating a bullish engulfing above the daily pivot.

As usual, I've entered a long trade at the closing of engulfing candle.

Look, both the pairs have EUR common and USD & JPY is the other pair of the two trades. The two trades were just opposite to each other. Now see, USDJPY pair is in down trend. If it continues its downtrend then both the trades that I took above will go along my desired direction. Otherwise, I'll have to accept losses in both the trade. This is the draw back of trading in correlated pairs simultaneously.

What did I learn from all losing trade yesterday?

2017-09-08T08:33:00.003+06:00

I lost all three trades that I took yesterday. To be more specific, one was at breakeven. Now, what did I learn here?

Mistakes I made- I took a trade with daily pivot keeping ahead as major support (Short trade). In another trade, I kept my SL too tight, not following the strategy. In more than one trade my exhaustion candles were not typical exhaustion candle. I pushed myself into the trade after being on the sideline for some time.

So, proper exhaustion candle, proper set up and proper SL & TP. I'm sharing these publicly for two reasons. One, to help the readers learn from my mistakes and two, make myself following the rules by not making the same mistakes again as everything I'm doing in public.

I'll go through the strategy again today. Hope to see you next week some good trades.

Happy Trading.

NZDUSD is on the way to create bearish engulf pattern in the H1 TF

2017-09-07T22:53:00.001+06:00

NZDUSD pair in the H1 timeframe. It is now on the way to create a bearish engulfing candle in a small down trend.

The candle is yet live so it's not final. So I'm following it. Let's see what happens.

CADJPY & EURJPY long trade taken

2017-09-07T22:07:00.000+06:00

CADJPY pair in the H1 timeframe. As I've posted few minutes back, I've entered for long in this pair at the closing of the previous candle.

Let's see... what happens...

Also similar condition in the EURJPY pair.

I'll put the update later.

Happy Trading

Quick Update:

Both the pairs hit the SL. It was inevitable if we look over to another correlated pair: GBPJPY

When there was an exhaustion candle at the above-mentioned pairs, here there was no exhaustion candle, rather a big bear candle.

I was aware of the condition but I wanted to experience it myself.

It's a demo account, so what to lose??

Again, Happy Trading.

Waiting for long entry in CADJPY pair

2017-09-07T21:59:00.001+06:00

CADJPY pair in the H1 timeframe. Price is creating an exhaustion candle at the daily pivot.

I'm going to enter long here with a stop loss at the tip of the lower shadow and TP at near the R1 level.

Let's see what happens.

Happy Trading

Price action trading in multiple co-related pairs

2017-09-07T21:36:00.002+06:00

AUDJPY H1

AUDJPY, GBPJPY & CADJPY pairs in the H1 timeframe. All three pairs created bearish candlestick at a previous resistance level which was a very good entry point. GBPJPY pair gave the entry signal early which helped taking other two pairs in the same direction with the same conditions. Some very good deserving pips there.

GBPJPY H1

CADJPY H1

Happy Trading...

6:00 am (GMT +6) trade opportunities

2017-09-06T08:51:00.000+06:00

NZDUSD H1

AUDUSD H1

GBPJPY H1

CADJPY H1

EURJPY H1

USDJPY H1

EURAUD H1

USDCHF H1

NZDUSD H1

AUDJPY late long entry on an exhaustion candle

2017-09-06T00:12:00.001+06:00

AUDJPY pair in H1 timeframe. I was following the pair but somehow I've got involved in mobile handling.

I missed a good entry-level, even then I've entered the trade long.

A bearish pinbar after sharp fall can make the price to retrace to the next resistance level drawn by daily pivot. Let's see what happens next.

Happy trading.

8:00 pm (GMT +6) trade opportunities

2017-09-05T23:42:00.000+06:00

EURAUD H1

EURAUD H1-40 mins after

AUDUSD H1-Bearish engulfing

AUDUSD H1- 1 hour after

AUDJPY H1- Bearish engulfing

Missed a trade in GBPJPY pair

2017-09-04T21:57:00.001+06:00

GBPJPY pair in H1 timeframe. The first day of a trading week is usually not eventful. And also I was busy with family matters.

When I reviewed my selected pairs, I've found that I've missed a nice trade with 1:2 risk to reward ratio. Price created a bearish exhaustion candle at a resistance which was nearly an ideal candle to trade on.

At the time of writing this post, the price already reached the probable target area for the trade.

Happy trading.