As probably most of people that start trading, I am at a breaking point. As I am working full time, I am trying to create a strategy that doesn’t require me to be monitoring 100% of the time my screen. As such I look at trading more of as a way of ‘gamling’. Trying to check if event X happens then there is Y % that event Z will occur, allowing me to place a trade.
Actually I am right now using a simple trend followíng strategy, a modified version of TurboNero suggested on this forum (in case you are reading am still most thankful for that!). My hesitation comes from me denying that a strategy that requires so small attention can be a winning one.
Can you guys point me any good ways to find out if a trend is reversed? Or any strategy that I can fine tune for myself to be able to trade out of office hours?
Many thanks for any advice, tip, heartwarming message
I’m a bit concerned that you would use the term “gambling” instead of trading.
Anyway, that aside, You can use an “end of day strategy.” The first step is to map out horizontal support and resistance on your weekly charts for the currency pairs you trade. Next, get on the daily charts. Look for reversal signals at support to go long. Look for reversal signals at resistance to go short (I believe there is a course on support and resistance on this site). If you have a valid signal to trade, wait to get home from work and either enter on a stop, or if you think it is a strong move in your direction, take it at market. Be sure to account for spread.
If you’re using a trend-following strategy, trend reversals are not the thing you should be worrying about. Most trends don’t end suddenly and reverse into an opposite trend. Much more likely they will pull back and then resume, or pull back and start to range or consolidate. So you urgently need a tactic to deal with pull-backs: will you hold and wait or take the chance to bank your profits and look for a good price at which to re-enter?
If your pull-back tactic works, it will cover reversals as in real time they will look the same as they commence. There is no way to distinguish between the two until it is too late.
But if an uptrend reverses into a downtrend, that’s an opportunity to go short, I hope your market access gives you that facility. Because you can’t short if you are holding long and hoping price will rescue you.
But bro forex business is not gambling. The way you are using your strategy is gambling. You are inspiring other trader to do gambling. If any trend reversed it should not any big issue. There is a say that history repeat. But there is nothing to be worry because trends do not change dramatically. It changes slowly. And if you are smart enough you can easily find out what will be going next.
