I am using that FX power tool that rocky has suggested. I've implemented it in my trading plan and I have to say thank you Rocky. Here's what I have done. If you're not using the FX power tool Rocky suggested, it's a great way to gauge which currency you should be focusing on for the day. I have been backtesting and using it live in my forward test. I've added a strict rule to my plan to where I can only trade the currency that has the most strength based on the 4HR for the late London and early NY session. This is just me and what fits me, but I have Rocky to thank for it. I like to use the 10/21/36 EMA's and when they are spread out nicely and trending is ideal for me. Couple that with a Williams %R and SAR confirmation signal and that's pretty much what I do.
This is just how I trade...
1. 4 Trades Max per day, or $750 loss (.75%)
2. Risk $450 per trade. Target 1.7 to 2 R. Hold the trades!! Move to B/E After $250 gain. The trades that work are just going to go. If it comes back to b/e more often than not it wasn’t going to work anyhow, so don’t get FOMO
3. Cut trades at -$200 if watching
4. Trade must agree with the 4HR power bars. Must trade ONLY the highest power currency.
5. Trading begins at 5am EST and ends at 11am EST - All positions are to be closed regardless of win/loss by 11am.
6. Trades are cut short if the trade pulls back to the 36 EMA
7. Stops are trailed up with the 36 EMA
8. Goal is to ALMOST NEVER take a full loss for $450
9. Trades are executed on the 15min. time frame
10. You will have losing days… IT’S OKAY! Protect capital to play again tomorrow.
****Today's Trades - I focused the EU only today b/c the EU is strong on the FX power tool - There is a EU trade I entered at 7pm EST that is not in my plan. I do allow myself 1 trade outside of my plan a week if I see the perfect setup. In which this case it played out nicely. My apologies I had the RSI on my chart last night when I was discussing one of my trading buddies plans. The williams %R was almost identical and was over 50 on both positions.
This is just how I trade...
1. 4 Trades Max per day, or $750 loss (.75%)
2. Risk $450 per trade. Target 1.7 to 2 R. Hold the trades!! Move to B/E After $250 gain. The trades that work are just going to go. If it comes back to b/e more often than not it wasn’t going to work anyhow, so don’t get FOMO
3. Cut trades at -$200 if watching
4. Trade must agree with the 4HR power bars. Must trade ONLY the highest power currency.
5. Trading begins at 5am EST and ends at 11am EST - All positions are to be closed regardless of win/loss by 11am.
6. Trades are cut short if the trade pulls back to the 36 EMA
7. Stops are trailed up with the 36 EMA
8. Goal is to ALMOST NEVER take a full loss for $450
9. Trades are executed on the 15min. time frame
10. You will have losing days… IT’S OKAY! Protect capital to play again tomorrow.
****Today's Trades - I focused the EU only today b/c the EU is strong on the FX power tool - There is a EU trade I entered at 7pm EST that is not in my plan. I do allow myself 1 trade outside of my plan a week if I see the perfect setup. In which this case it played out nicely. My apologies I had the RSI on my chart last night when I was discussing one of my trading buddies plans. The williams %R was almost identical and was over 50 on both positions.
2