The Media is filled with NEW CORONA VARIANT NEWS. (THE EQUITY MARKETS HAVE TAKEN A HIT AND HUGE FLUCTUATIONS WERE OBSERVED IN THE FOREX MARKET)
HOW CAN WE BENEFIT TO TRADE THE BAD NEWS
Forex Markets give us a great opportunity to combine RISK ON AND RISK OFF ASSETS.
RISK ON: All the Assets that performs on good news and when an investor is willing to take risk. All of these are included in RISK ON elements
RISK OFF: All the Assets that performs on bad news or when an investor is not willing to take risks
So which currencies are Risk on and Risk off
RISK ON CURENCIES: AUD, NZD
RISK OFF CURRENCIES: JPY, CHF
So as Traders we can combine these pairs to find trades
FORECAST:
AUDJPY (DOWN)
AUDCHF (DOWN)
NZDJPY (DOWN)
NZDCHF (DOWN)
Now we need confirmation to trade on all these currencies
HERE ARE THE LINKS AND INDICATOR TO USE FIND TRADES
LINK TO ULTIMATE BREAKOUT INDICATOR MT5: https://www.mql5.com/en/market/product/68480
TIMEFRAME USED: 1 MINUTE
SIGNALS: 4
WON: 4
WIN PERCENTAGE: 100%
NOTE:
1. This percentage win is very big and all the days can not be the same. We have to be on the right side majority of the time
2. Watch out for the STOP LOSS HUNT. Majority of the time, the Banks fake out so they can enter the game. Although our indicator takes out major fake outs but still it is used on 1 minute timeframe.
3. Try to maintain a minimum of 1:1 risk to reward ratio.. 1:2 is ideal.
GOODLUCK!!!
