Analysis Lets turn our attention to another example of the Forex breakout strategy. But the million-dollar question is, why did this happen? The setup above formed on the daily chart, so from start to finish this consolidation period lasted for 180 days. I wont lie, it wont be easy You will need to work on it, you will need to follow the advice, and you will need to make use of the tools. There was an obvious pin bar strategy from February 16th that we discussed first in the members forum and then in the free commentary from February 17th, as well as in the members commentary. Trading a 5 minute chart stimulates the reward centers of your brainit gives you instant gratification. I was really busy with college, so I almost gave up on trading.
At just 2 risked you would have made a staggering 24 profit. One to two messages daily. While a wedge is typically a continuation pattern, I tend to trade it based on whichever way the market breaks.
A breakout is any price movement outside a defined support or resistance area.
Trading Forex With Confluence and Price Action - If I had to boil down my Forex trading strategy into to one simple phrase, it would be this; trading simple price action signals from confluent levels in the market.
Nial Fuller is a professional trader, author & coach who is considered The Authority on Price Action Trading.
In 2016, Nial won the Million Dollar Trader Competition.
My Forex Trading Strategy uses price action techniques like candlestick analysis and support & resistance areas to trade in a simple, stress-free way.
Heres a complete breakdown of what youll learn in each module. And with money/risk management, you do just that. So if the market begins to move sideways for more than three or four periods, theres a good chance that the market wont give a full retest. Do you ever find yourself doing any of these things? Either way, Id love to hear from you. As a trader you need to have a solid trading plan. If you trade without having control over your emotions, you will make a lot of mistakes. Summary I hope this lesson has opened your eyes to whats possible with a simple Forex breakout strategy. In the case of the usdjpy breakout pattern below, your stop loss should be placed above the candle that broke support.