4 Steps for Trading- Fishing
4 Steps for Trading- Fishing
You should consider trading as fishing, so when you choose the right lake having a lot of fishes it will offer more opportunities for you. Chosen the right lake (the right currency pair for trading) you have to choose right food (right trading strategy) for fishing (trading). I introduce 4 steps for fishing- trading.
1. Step 1: “Preparing the food “
Choose your
favorite trading styles:
- Swing
trade ( trading long term ) or Day trading ( trading short term)
- Trend
trading or counter trend
How to setup
trend trading ? Read detail…
How to setup
counter trend trading? Read detail…
After this
step you know what strategy you will use for trading.
2. Step 2: “ Finding the lake”
- Long trade: you look for time frame : H4 – D1 and your
order will normally take days or weeks. If trading is your part time job or you
do not have time watch trading screen
all day, you should choose this type of trading. After you got trend
trading setup you look can use our Entry Opportunities tool to open the order.
You set Stop loss and Take Profit for your order following our Support andResistance tool.
- Day trading: you look for time frame M15-M30-H1. Your order
will take some hours or days. It usually close before market close so you can
sleep well and Nobody know what will happen in future. In finance market, the
trend will change just after big news like interest rate hike or the event
as Brexit… so day trading is fashionable
for active trader.
We use :
- Trend that means the direction of time frame of the
market which you want to trade.
- Signal is the
time frame smaller than time frame of trend ( normally 4 times) to find the
entry opportunity for the order.
a. If you are trend trader:
·
Long
trade:
o
Trend:
D1
o
Signal:
H4
·
Day
trading:
o
Signal:
M15-M30-H1
o
Trend:
H4
b. If you
are counter trend trader.
- Long
trading: you look in our Pair2Trade tool and then find the Potential TrendReversal Zone instrument to find which timeframe of Your WatchList in our site.
- Day
trading: you should look for the oppose signal of H4 vs D1 in your watching
list in our section Trend Heatmap .
After this step you know exactly what pair in our watch list you have to find
the entry opportunities in what time
frame.
3. Step 3: “ Fishing time”
- Long
trader: you will look for time frame H4
entry appear in our Entry Opportunities to open order.
- Day
trading:
Ø Finding the longest wave using our Profit Meter
finding out time frame X of your pair( in this example is M30)
Ø And then finding the M30 entry signal
show in our EntryOpportunities to open
order.
In this step: you look for the entry signal come in Entry
Opportunities to open order.
4. Step 4: “Going Home”
- Using
our Support and Resistance section to get value for setting Stop
loss and take profit level for each order open.
Recommend:
- You should
order at least risk reward is 1:1
- You could
close ½ order if you get reward equal risk so you can have free risk order.
- You should
order at least risk reward is 1:1
- You should
look for your order carefully if your pair appear signal in our Potential TrendReversal Zone
In this
step: you set up Stop loss and Take Profit level for your order and watch your
order each time the reversal signal of your pair show up. You can going home or
rest in home now, make Trading simple and easy, the other Job is our honor!
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