Fibonacci-Woodies Scalping Trade Strategy
I’ve always thought that coming to a crossroads in your life and making a choice, taking a real path, when you sacrifice everything for a new start, is a very good example of passion, hard work and destiny. I always knew what was right and what was wrong but I never took it, until now. You know why? Because, it’s very hard. Today I decided to write about my strategy because I need to share this thread with you. If you’re going to make a choice to become a professional trader and make a living of it, than you have to be aware of what is involved in this life style: sacrifice, passion, hard-work, perseverance, routine, and last but not least long individual study. And even though you have passed all these exams, your success is not guaranteed. I don’t have the secret key to success, nobody does. I can however tell you that, if you have enough patience and perseverance eventually you will be profitable. Making money consistently is your final goal. Any trading strategy is a “hope” built up by its builder who believes that he can pass that on to you. Sometimes, believing in a model puts you a step ahead in this battle and your psychological spirit is happy to see this happening. But don’t get confused or overconfident in something, even if it had a lot of back testing. Any trading strategy is a whole bunch of indicators put together that did an excellent job showing, what happened in the market. What’s going to happen is a blank page, nobody knows, we’re just assuming and making predictions. As a matter of fact is in your power to learn the market and read it like a book, how the currencies move and how they interact between them. Choose few pairs that suit you better and start learning about them. Soon you’ll be amazed of the progress you’re making.
As we all know patience plays a big part in trading and having a trading strategy is part of your success. Stick to your trading strategy applied to your Forex charts and don’t be discouraged if you’re wrong. If you see a trade and pull the trigger then you know in your subconscious that you did the right thing. If you don’t, then your emotions are overwhelming you and your gut feeling is telling you to enter the market at the wrong time whishing to be out before wishing to be in. So, here is what I have for you:
Pairs Traded: EUR/USD, GBP/USD, EUR/JPY, USD/JPY and USD/CHF (a very good cross divergence reference for EUR/USD trend).
To make this method a success you have to stick with the rules and enter into trades when you have the indicators giving you the signal. You could be successful 8 or 9 times out of 10, at least on short term trades. Depending on your daily goal, I would say that 30-50 pips are a reachable target. Don’t expect to be profitable every single day. Even, if you’re a professional that’s not going to happen. Those two times when you’re having losing trades could damage your moral. Don’t let that happening. Do everything in your power to manage your emotions. Don’t overtrade wishing to be in every single move of the market. Most of the time 1-2 trades a day it’s enough to cover your goal. Don’t give back anything from what you have made by being overconfident. Stay focused and calm, because tomorrow it’s another day with hundreds of trades waiting for you.
The thread can be well used for scalping on 5M/15M/30M/1H. This method is for Meta-Trader 4 users only. You can download the newest version of the MT4 with one of the many existing brokers in the market.
All the indicators I’m using you can download from Meta-Editor, Indicators or from this page. Here is how I have them renamed and set-up on my chart:
1) Float-mi
2) Brain Trend1Sig
3) FiboPiv_v2
4) Bands
5) EMA 8
6) SMA 200
7) Fib Tool (Fibonacci Retracement set-up tool)
8) CCI_Woodies_Lnx_v3_1
9) FX5_MACD_Divergence_V1.1
10) StochHistogram
11) Laguerre-ACS1
Please follow the attached files for a complete detailing of all the indicators.
Hope it helps,
See you on the other side
mikecanad
Attached File(s)
