I have been following a scalping technique and found it very consistent with very few losses. I thought I better begin a journal so I started recording the results 4 weeks ago.
These are the basic rules I follow:
Observe the 5 day ATR on Forex majors
Identify qualified pairs that have exceeded the ATR
Check for key Support & Resistance levels on higher time frames
Wait until the London Close time window 4pm GMT
Enter at the 79% retracement line on a Fibonacci
Exit at profit targets which is the top/bottom of the Fib depending if it was a buy/sell.
The spreadsheets only shows the number of pips made and doesn’t take into account the cost of spread.
I have noticed that a lot of the time price exceeds the Fibonacci. I am trying to see if there is any way of predicting a more precise close position.
Any ideas would be greatly appreciated.