Video Analysis of the Daily and 4 Hour Charts

28% RATE OF RETURN - IS THIS ENOUGH OF A MONTHLY RATE OF RETURN FOR FOREX TRADING?

This Rate of Return was earned during the Trading Competition with Dukascopy Bank for the month of December, 2017. It reflected the Monthly Targets I have set for my Live Forex Account using my new Aggressive Swing Trading Strategy that targets High Probability Trades each week. With only a few of these types of trades needed each month using Reliable Candlestick Signals and Consolidation Setups on the Daily and 4 Hour Charts, I think this type of Monthly Return is possible and more than enough to provide large gains from the Forex Market in a very short time.

VIDEO ANALYSIS OF TRADING PERFORMANCE

The table below shows the summary of the monthly outcome in the competition. For the period, a 28% Rate of Return was earned with a Maximum Drawdown of just 5%.

SUMMARY OF PERFORMANCE

This Return was in sync with monthly target that I have set for my personal trading on my Live Account.

If this type of Return is targeted each month, significant gains can be achieved from this Trillion Dollar Market in just a few months…

The Aggressive Swing Trading Strategy I use is summarized below. Powerful and accurate Candlestick Signals and Consolidation Setups are used to Swing Trade the Daily and 4 Hour Charts each week. This is based on the Trading Theories and Strategies that I discovered actually control the Forex.

As you heard in the video above, there are times when trades that offer less than 50 Pips or more than 70 Pips are also targeted, so long as the setup is strong enough to justify taking the risk. All trades are held for a maximum of 24 Hours since this was discovered to be the time needed for the High Probability Trades to hit their Pip Targets. It also imposes a level of discipline that prevents being greedy.

MONTHLY STATISTICS

As you can see from the table above, the performance in the competition reflected the main aspects and goals of my Methodology…

  1. Only a Few Trades Needed for Strong Returns

  2. Fast Turnover/Overnight Results

  3. Average Drawdowns of just 3.96%

  4. No Need to Target Thousand of Pips Each Month

  5. No Need to Trade this Market Everday

SUMMARY OF TRADES

As you can see from the video, all of these trades were based on Consolidation Setups that were either in the process of being formed or were already formed. This means the knowledge of the Signals and Patterns that control these setups is essential to taking advantage of them each week, such as with this False Breakout Reversal on my Live Account…

IDENTIFYING CONSOLIDATION SETUPS

The first step is knowing how to identify these setups. There are certain patterns that tell us when the market is forming these setups. Once we spot them, then next challenge is to know how to accurately draw them. However, this is easier said than done because of the many challenges involved in drawing and trading them such as…

Should you draw the Support & Resistance Lines across the Body or the Wicks of the Candles? or Both?

Which Consolidations are too risky to trade?

Which Candlestick Signals are reliable vs risky ones that lead to losses?

Which Breakout Candlestick Signals are risky and usually lead to False Breakout Reversals back inside of the Consolidation?

Should you always trade to the Resistance/Support Boundary or exit just ahead of these areas?

Where are the safest Stop Loss Areas and does it depend on the type of Trends/Candles within the Consolidation?

These are just a handful of the issues that we face when trying to master these popular setups that appear each week. However, if you have the solutions to these questions and include them as part of your trading, consistent gains from them can be yours.

Duane

DRFXTRADING

THESE TRADES SHOW HOW TO MASTER CONSOLIDATIONS

These were the 4 profitable trades made during the Duskascopy Bank Competition that led to the 28% Return in December. They show that Consolidations can be traded for consistent gains once we know how to draw them and trade with the right Candlestick Signals.

USD CHF 4 HOUR CHART - 32 PIPS

This Pair was forming a Pennant Consolidation Setup;

The Support Boundary & 1 Resistance Point had already been formed;

The 2nd Resistance Point to complete the Resistance Boundary and the overall Pennant was being formed by the Bearish Signal & Trend Line Break;

Entry took place at the Signal with the Target Set for Support;

After Just 12 Hours, the Target was Hit.

CHF JPY 4 HOUR CHART - 37 PIPS

This Pair had already formed a Range Consolidation Setup;

The Pair had recently U-Turned at Support and was headed to Resistance;

A Sharp Rally was taking place with Bullish Candles;

Entry took place at one of these Bullish Candle Signals;

The Stop Loss was placed below the Candle;

Target was set to the Resistance Boundary which was hit within 24 Hours.

VIDEO ANALYSIS OF THE TRADE

GBP AUD 4H CHART - 109 PIPS

This Pair was forming a Pennant Consolidation Setup;

1 Support & Resistance Point had already been formed;

**The 2nd Resistance Point to complete the Resistance Boundary was being formed by the Bearish Trend that had started; **

Entry took place at a Bearish Signal with the Target Set to where the Support Boundary was expected to be formed;

After Just 24 Hours, the Target was Hit.

VIDEO ANALYSIS OF THE TRADE

EURO NZD 4 HOUR CHART - 74 PIPS

This Pair had already formed a Range Consolidation Setup;

A Failed Bullish Breakout took place above Resistance to then U-Turn back inside of the Range;

False Breakouts usually head back inside of the Consolidation and then break at the other boundary;

Entry took place at one of the Bearish Signals with the Target Set for Support and the Stop Loss placed above the Downtrend Line;

Within 24 Hours, the Target was Hit.

VIDEO ANALYSIS OF THE TRADE

So as you see here, Consolidations - no trends - were what I have been trading in both the Competition and on my Live Account. These patterns reflect the limited range of Pip/Currency Movement by most pairs over the last several months and the need to be able to trade these setups that are becoming the norm.

Duane

DRFXTRADING

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Ever wondered whether knowledge of Economics is actually necessary to be a profitable Trader? As someone with a Masters in Economics and as a former Central Bank Economist, I can state categorically that this is not true!

This can be quite surprising given the nature of the market we trade- exchange rates. However, after 10 yesrs of trading, it has become clear to me that all you need is a knowledge of how Candlestick Patterns work on the Larger Time Frames. Here is a brief summary of my strategy that explains and justifies my approach to trading.


THE TRADING STRATEGY

Overview

The strategy targets gains of 50-70 Pips over a 24 Hour Period using the accurate Candlestick Patterns, Trend Lines and Consolidation Setups of the Daily and 4 Hour Charts. After experimenting with various Statistical Indicators across all time frames for several years, I finally discovered that there were certain combinations of Japanese Candlestick Patterns that offered more reliable Entry Signals, especially when combined with the correct way of drawing Trend Lines and the “Best-Fit” Method of identifying Consolidation Setups with Support and Resistance Lines.

Higher vs Lower Time Frames

Higher Time Frames in general were found to be more reliable with fewer False Signals and “Whiplashes” compared to the 1 Hour and lower charts. With this in mind, the Daily and 4 Hour Charts were then chosen as the time frames to use because they offer the best combination of the following factors that I have been looking for in a profitable strategy

  • Reliable Signals & Stable Patterns

  • Strong & Reliable Stop Loss Areas

  • Manageable Stop Loss sizes (30-45 Pips)

  • Setups with a High Probability of Success

-Trading Targets with Small Holding Periods

Economic & Financial News

As a former Central Bank Economist with a Masters in Economics, I can state categorically that a knowledge of Economics or Financial Markets is NOT necessary to successfully trade the Forex Market.

Yes it is true that many strategies out there successfully use Economic Data to predict market direction and that knowledge of various Economic Variables is crucial to the conduct of Monetary and Exchange Rate Policies. However, at the Retail Trader level that targets short moves within 24 hours, finding accurate Candlestick Signals was found to be more reliable than using short -term economic data that is too volatile to be used in a meaningful way.

In addition, what you will notice is that whenever there is a major news release during the day, the Candlestick Signal formed on the Larger Charts will eventually reflect the overall reaction by the market to the news. This means that you can simply wait for this Candle to close to indicate where the market is headed and then trade accordingly - without having to play the guessing game with these releases on the smaller charts.

The Pip Targets Per Trade

The strategy builds on the ability to accurately forecast the Weekly Range Direction of Currency Pairs each week. This accuracy provided the foundation of my previous strategy that captured 100-200 Pips per trade over the last few years and which led to an average return of 40% each year. While this was a good conservative performance that was a safe approach to long-term profitability in a dangerous market with a high failure rate, the recent narrowing of exchange rate movements has made targeting large trends and breakouts a very risky activity.

This therefore led to the search for a more aggressive approach that takes advantage of these smaller Pip Ranges. So instead of going after large gains over 5 to 7 days, shorter targets of between 50 to 70 Pips are now the focus to best take advantage of the narrow trading ranges.

Market Direction & Trade Entry

Both the Daily and 4 Hour Charts are used to identify market direction over a 7 day period. Once identified, the 4 Hour Chart is then used to trade in this direction for the targeted Pip Gain.

Stop Loss Placement

To protect the trade over the 24 Hour Holding Period against temporary pull backs, the following areas on the 4 Hour Chart are used for our Stop Losses

  • Strong Trend Lines

  • The Support/Resistance of Consolidations

  • The Low/High of Candlestick Formations

These are the only areas deemed strong enough to protect trades until the trade targets are hit. If these are not present on the 4H, the trade will be deemed too risky and will be foregone to avoid losses.

Market Setups Traded

Due to the narrow range of currency movements that we see each month, more Consolidation Setups have been formed across Currency Pairs with very few of them providing stable and reliable breakout opportunities as they had in the past. This is why my trading is done strictly within the Consolidation Setups formed on the Daily and 4 Hour Charts.

Consolidations that have a minimum distance of 150 Pips and a maximum of 400 Pips between Support and Resistance are the ones that are traded. These allow me to comfortably capture my trading targets within these wide ranges, while not having to wait too long for these gains to be realized.

Trading Frequency

On average, there are 1 to 2 of these High Probability Setups that arise each week. This means that with an average time of 3 to 7 days between trades, I do not have to be tied to my computer screen everyday and will have time to recover from both the euphoria of a good trade as well as the disappointment of a loss.

Risk Capital Per Trade

The Risk Per Trade that I use is 2% on average, targeting an average Monthly Return of 14%. This is in line with the Monthly Return that I now want to capture over the long-term.

The Holding Period & Trade Exit Rules

What I discovered was that in 90% of the scenarios in which the High Probability Setups offered stable 50-70 Pip moves, they didnt need more than 24 Hours on average to hit these targets. Any longer than this usually meant that the market was beginning to slow down and that a reversal was imminent. This is why as one of the rules of my strategies, any trade that has not hit its target within this fixed period will always be closed. This is done to avoid the bad habit of becoming greedy or needy and more importantly to avoid severe trade losses from sharp market reversals.(ex. The Sharp CHF gains from the SNB shocker)

What do you think?

Duane
DRFXTRADING

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The next 24 to 48 Hours could see the CHF JPY pair providing us with a trading opportunity to go short as the Japanese Yen looks set to resume its gains that started at the end of the previous week against a few currency pairs across the market. Once the 4 Hour Chart provides us with a strong Setup and Signal to confirm the continuation of this downtrend, trading gains of between 50 to 70 Pips could be captured for a 2% to 4% Return.

CHF JPY SUMMARY AND ANALYSIS

From the Daily Chart below, you can see that a fairly large Pennant Consolidation Setup has been formed that has controlled the movements of this currency pair over the last few months. More recently you can see that a Bearish U- Turn has taken place at Resistance that now appears to be setting the tone for what to expect this week.

DAILY CHART PENNANT SETUP

Assuming this movement continues, the 4 Hour Chart will give the green light to start opening short positions, with the first one expected between today and Monday during the Asian Trading Session.

4 HOUR CHART POSSIBLE SIGNAL

Based on what we are now seeing here, however, the pair is a little bit oversold after that U-Turn at Resistance. In these situations, what is recommended is that we wait for the market to pullback with a slight rally here, followed by a reversal that gives us a strong Bearish Signal to resume the decline. This will then be traded aggressively to capture my targeted trading return, so long as it meets the following Guidelines for the Trading Strategy -

  1. Offers 50 -70 Pips comfortably from entry to an area just above Support.

  2. Requires a Stop Loss no larger than 45 Pips.

  3. Provides a Strong Stop Loss Area such as the High of the Candlestick Signal formed or a Trend Line to adequately protect the trade.

As soon as a signal has been given that meets these criteria, you will see the result of the trade described here. In the meantime, re-familiarize yourself with the common Bearish Signals that tend to provide reliable entry signals in downtrends and be ready to trade any of them in the next 48 Hours.


Following the previous update and analysis of the CHF JPY yesterday, we are now seeing the pair pulling back as expected on the 4 Hour Chart following the strong U-Turn at the Pennant Resistance of the Daily Chart.

           4 HOUR CHART BULLISH REVERSAL

What is now needed is a strong Bearish Signal to confirm the continuation of this downtrend and that provides trading gains of between 50 to 70 Pips.

An example of the Signal that could be given is this one on the NZD JPY on its 4 Hour Chart last year.

NZD JPY 4 HOUR CHART BEARISH SIGNAL

It was a similar Counter Trend Line (CTL) setup now on the CHF JPY that could also be given.

Let’s wait to see what is given and if it is strong enough.

Well unfortunately this pair has not given us the Bearish Signal as we hoped to capture a trading gain of between 50 and 70 Pips and based on the nature of the pulling back taking place, it appears that this will not be provided.

From the chart below, you can see that even though the pullback has taken place as predicted ( See Previous Posts) on the 4 Hour Chart following the recent Bearish U-Turn, it is too large a reversal to expect a “Well-Behaved/ Stable Signal”.

4 HOUR CHART REVERSAL

Now the reason I believe that this is unlikely to provide a good signal is that whenever the 4 Hour Chart is going to provide a profitable setup in a trend, the reversal in the form of a Counter Trend Line is usually neither this large nor does it take more than 12 -16 hours/4 Candles. The longer it takes to pullback before giving a signal the riskier the setup is becoming. In many cases, it could mean the formation of a Consolidation Setup instead or a major Reversal altogether.

In situations like this, we should simply avoid the pair for the time being and look at another pair or come back to this one only if we see something more stable and reliable - whether Bullish or Bearish.

As was expected yesterday, the CHF JPY has become somewhat unstable now, with the pair showing Bullish intentions and threatening to either rally or move sideways in Consolidation, following a weak and unconvincing Bearish Signal given a few hours ago.

The Chart below shows the Bearish Break of the Counter Trend Line that has now been taken out by a Bullish movement.

4 HOUR CHART BEARISH BREAK & RALLY

This is now pointing to the possibility of either a Strong Reversal started by the formation of a Double Bottom Signal…

…or the formation of a Consolidation Setup that either leads to the resumption of the Bearish Trend or starts a Bullish Reversal…

As always, whenever the market is giving mixed signals, stay away from the pair and trade another one until this pair provides greater clarity with stronger signals.

                ________________________________

GBP JPY REVERSAL AHEAD?

Despite the strong Bullish Signal that has appeared above the Resistance of the Daily Pennant, the current market conditions that have restricted major currency breakouts are likely to lead to a False Breakout Reversal in favour of the JPY, taking us back inside of the Consolidation Setup.

Below you can see the strong Bullish Engulfing Candlestick Signal that has closed above the Resistance, indicating the possibility of a sharp rally in favour of the GBP in the days ahead…

DAILY CHART PENNANT BREAKOUT

If this breakout is going to take place, we would now be looking for follow-up Bullish Signals on the 4 Hour Chart to take advantage of this move. As long as these Signals remain above the Trend Line and Resistance Boundaries, they would have a high chance of being successful…

SAFE ENTRY AREAS ON 4 HOUR CHART

Nevertheless, given the fact that major breakouts are becoming the exception rather the rule over the last 10 months, the best option is to always assume these setups will pullback inside after giving a strong reversal candlestick signal…

LIKELY FALSE BREAKOUT REVERSAL SIGNAL

Thus would take us back inside of the Consolidation Setup and to the Support Boundary by the end of this week or the middle of the upcoming week. Assuming this takes place, these are the type of signals that can be expected to begin this pullback…

  1. Bearish Engulfing Signal

  2. The ABC Signal

  3. A Double Top Formation

  4. An Evening Star Signal

Become familiar with these signals right now so that you will be ready to start trading short in the next 48 to 72 Hours. As long as I see a Setup and Signal on the 4 Hour Chart that meet the following criteria from the Trading Strategy, I could earn a fast Return of between 2% and 4%.

  1. Offers 50 -70 Pips comfortably from entry.

  2. Requires a Stop Loss of 40 Pips - maximum of 45 Pips.

  3. Provides a Strong Stop Loss Area such as the High of the Candlestick Signal formed or a Trend Line to adequately protect the trade.

As soon as a signal has been given that meets these criteria, you will see the result of the trade described here.

Duane
DRFX FOREX SWING TRADING


Hey traders, how goes it?

So far for February, up 7.34% from just 2 trades on my Live Account, with the GBP JPY providing 100 Pips and a 5.14% Return during Mondays market selloff to add to the 2.05% on the AUD NZD last week.

This trade was part of the strategy of trading short term moves on the Daily and 4 Hour Charts that have a High Probability of Success.

Most targets are on average 50 to 70 Pips, but with pairs like the GBP JPY that have a larger range, 100 Pips was deemed an ideal target.

THE TRADE AND CHART SETUPS

As stated in description of my strategy, FXCM Charts are used to provide me with the Candlestick Patterns and Signals for market direction and entry because of the greater accuracy of their Candles-in particular the New York Close of the Daily Candle- compared to other platforms. However, I use FXPro for my Live Trades because of the better user interface with features like seeing the actual Risk and Return % Values before you execute the trade.

The Screen shots below show that the Daily and 4 Hour Charts looked as if they were forming a Pennant Consolidation and that the Bear Crown/Head and Shoulders (HS) pattern formed on the 4 Hour would continue the downtrend.

As you can see, the pattern provided the Left Tip (LT), Centre Tip (CT) to start the transition from the Uptrend to the Downtrend below the Uptrend Line. The Right Tip (RT) then gave us the Entry Signal to take advantage of this expected decline. After examining the setup and confirming that it met my criteria, I placed an Entry Order to ride this move…

…and after a few hours, market went aggressively to the targeted area…

LIVE ACCOUNT 4 HOUR CHART

So this was another great example of how we can spot and trade great setups on the Daily and 4 Hour Charts using accurate Candlestick Signal that can make decisions much easier and safer.

Being up 7.0% so early in the month and assuming few losses along the way, the next few weeks should provide the trades that push me to the first of 6 Monthly Targets of 30% over the next few months.

Duane

DRFXTRADING

For the record.

What time zone are you in.

Caribbean… Eastern Standard

Hey guys

So far so good. Below is the Weekly and Monthly Summary

Lets see what this weeks brings.

Duane
DRFXTRADING

THE TRADE SHEET I USE TO REMAIN DISCIPLINED

After determining that a Trade has the potential to be profitable, I then write down the relevant information in a table when I am about to trade on my Live Account. This includes key rules I follow to remain disciplined and unemotional after the trade has been implemented.

And this was the result of this discipline for that trade last week…100 Pips in 5 Hours as Safe Haven Activity over ran the market…

It is very easy to give in to the temptation to watch our trades as they head towards our targets, but this is a disaster waiting to happen and must be avoided at all cost.

The reason to not do this or watch Financial news is that something that we may see or hear that indicates movement against our trade could lead us to become irrationally fearful and hesistant about our decisions. However, with all successful trades, there will always be temporary market reversals and investor opinions against our trade that eventually fade into insignificance when the market finally begins to move our way and hit our target.

So lets take this trade as an example. 4 Hour Chart had given us this Signal indicating it was time to short.

However if I had made the mistake of looking at a lower time frame and saw the temporary movement against my trade…

…chances are I would have been tempted to adjust, reduce my exposure or close my position all together in the face of this pullback. But if I did so, it would have meant being disloyal to my own instincts and analysis and would have foregone this profit as the market eventually U turned to resume the downtrend…

PAIN OF MISSED OPPORTUNITIES FROM SELF DOUBT IS MUCH WORSE THAN A LOSS OR MISTAKE

So it is with most things in life. Once you are sure about the signals being provided by the market and you are sure that it conforms to your tested Strategy, you must trust yourself and let the market do the rest.

The market hardly ever hits our targets in a straight line or within seconds of opening a position. Like all markets, there will always be temporary pulllbacks to reflect the natural dynamic of asset prices. But as long as our Strategies and decisions are in sync with where the market will eventually go, most of your trades will be correct.

Happy Trading

Duane

DRFXTRADING

Hello Duane,

I’m glad to hear you find our feed more accurate for your technical analysis. I’m not sure if you know but in the FXCM Trading Station 2, you can see your risk return values in the orders window by selecting “Advanced”.


All the best with your trading!

Jason

Hey Jason,

Yes I know about this option, but its these values expressed in Percentages that I prefer to see.

Helps make sure I stay within my boundaries better than seeing the numbers alone.

Regards

Duane

ACCURATE WARNING ON USD CAD AND GBP USD WEAK SIGNALS HELPS AVOID SERIOUS TRADING LOSSES

Within the last 24 Hours, I had been looking at the possibility of Shorting the USD CAD for a projected gain of 50 Pips following the Bearish Candlestick Signal that was formed on its Daily Time Frame. This was going to also be within the context of a Pennant Consolidation Setup that appeared to be forming that would see the pair declining over the next few days.

USD CAD DAILY CHART POSSIBLE PENNANT

However, instead of providing the required Bearish Signal on the 4 Hour to confirm this move (part of my Trading Strategy), a weak signal was given that was not enough to justify the trade.

USD CAD 4 HOUR CHART SETUP AND WEAK SIGNAL

With weaker than expected Candlestick Signals like this, it increases the possibility of a reversal to either start a Trend Change or form a Consolidation as highlighted above.

This was then sent to a fellow trader as a warning about the potential for a reversal that meant abandoning the potential trade…

SCREENSHOT OF EMAIL SENT

(This is the Trade Setup I use to remind me to stay disciplined. FXCM Charts are used to identify market direction and signals. I use FxPro however to actually trade. FxPro sends me an email alert so Im not tempted to interfere with my trades. Here I assumed a Strong 4 Hour Candle that would close at the 1.2420 area.)

However, those traders who do not look at the 4 Hour for guidance or who dont pay attention to the difference between weak and strong signals would have been caught out by the reversal as predicted…

USD CAD BULL CANDLE REVERSAL

This would have led many wondering why this downtrend suddenly turned Bullish. Was it due to Stop Loss Hunting? A Major Market Moving Economic Data Release? Neither.

WEAK VERSUS STRONG 4 HOUR SIGNALS

What you will find is that Breakout Signals on the 4 Hour Chart - which controls the Lower Time Frames - that are too weak have an increased chance of leading to reversals. This is why it can appear as sudden and unexplained trend changes on the lower charts.

A similar situation can be seen here on the GBP USD that I was also looking at. Again, instead of providing the desired signal to continue the 4 Hour Uptrend, a weaker than expected signal was given which on the lower charts would have appeared as a fairly strong bullish movement…

GBP USD 4 HOUR CHART REQUIRED BULL CANDLE

However, as can be seen here, the market did what it normally does with weak signals - takes them out…

GBP USD 4 HOUR CHART REVERSAL

Another Trading Loss avoided.

SUMMARY

So in a nutshell, knowing the Technical Factors that actually control the Forex will be key to our Long-Term Trading Success in this Dangerous Financial
Market.

MAIN ASPECTS OF ACCURATE WARNING

  1. Knowing How Counter Trend Lines behave during Trends is Crucial to Anticipating Reversals

  2. Mastery of Candlestick Patterns on the Daily and 4 Hour Charts is key to Predicting Market Direction

  3. Waiting for the 4 Hour to give us a Signal is sometimes needed to validate the Signals of the Daily Chart

  4. Not Having to Rely on Economic Data to Trade and Accurately Predict the Forex.


Happy Trading.

Your Trading Guru.

Duane

DRFXTRADING


101 PIPS ON EURO CAD

This trade in the Dukascopy Contest took advantage of the Consolidation Breakout on its Daily Chart that started several days ago. ( Breakouts no longer done with my Live Account Strategy).

This used a Stop Loss of 200 Pips as you can see to ensure I stayed in the trade, and the original target was 200 Pips However , I began
to see evidence of overbought conditions based on the Candlestick Patterns on the Daily Chart so decided to exit.

Right now I am way down in the rankings…250th lol…because I hadnt been focusing on this contest. (focusing more on my Live Account and helping traders). But I may consider this as a challenge to see how far I can finish.

Couple notes about Demo Trading Contests vs Live Trading…

  1. Can use larger Stop Losses compared to Live (maximum 80 Pips Live, average of 45 Pips most trades)

  2. Can wait patiently for much longer with Demo than Live…this trade was open for 12 days!! (Maximum 24 Hours Live.)

  3. Can look at trades in motion and make objective decisions. With Live…I dont and tell traders I help to not do so because with real money…easier to make bad decisions looking at trades.

Lets see what next dew days bring

Duane

DRFXTRADING

Hello Duane,

Thanks for posting the picture. Unfortunately, we do not have exactly what you are looking for but it is a good suggestion that I will pass to our developers.

Jason

CHANGE OF MONTHLY TARGETS

Hey Traders

I am changing my Monthly Return Targets from 30% to 14%. This is a more realistic target given the changes made to my Strategy and the need to avoid Low Probability and Risky Trade Setups that we come across everyday.

TRADING STRATEGY

MONTHLY TARGETS

This assumes an Average Risk of 3% Per Trade. So with a 7.3% Return for February from just 2 Trades …

only a handful of trades are actually needed to meet these monthly targets and achieve major gains in the Short Term and Long Term.

Duane
DRFXTRADING

55 PIPS ON USD CAD

This was a test trade done on my Demo instead of my Live Account to determine if it could be included as part of my Strategy.

The reason was that the Current Strategy focuses solely on Smaller Consolidations whereas this was a Large Setup. So there was some doubt as to whether the current rules of Pip Targets (50 to 70 Pips) and short Holding Periods (24 Hours) could be appplied/ captured before the market pullsback.

With the trade being successful and hitting the target within 24 Hours, these Larger Breakouts ( more risky/greater uncertainty) can be included from now on.

This was the Setup. The Daily Chart appeared to be forming a Large Pennant and had just given a Bullish Signal - supported by a Bull Crown Setup - to indicate the move towards where it was expected to form Resistance…

So the Pip Target of 55 Pips was set with the 4 Hour ABC Signal and Uptrend Line being used as strong Stop Loss Areas to protect the trade…

After executing the trade, the pair eventually made its way to the target…

So another test trade in the bag following the previous one on the NZD USD for 50 Pips…

…which tested and confirmed that smaller Daily Candle Signals can still be profitable, as long as they are supported by a Strong Trend and Stop Loss areas on the 4 Hour Chart…

Always best to test strategies on a Demo if they are a little bit different from your current Live Account Strategy.

With these 2 added into the mix, the current Rate of Return of 7.34% on my Live Account is very likely to hit and theb surpass the first target of 14% in the next few days.

Stay tuned.

Any body traded either of these pairs?

Duane

DRFXTRADING