As far as I can see we have to follow 3 important steps here:
Looking back on the charts I've found that if you don't get a retrace below/above SMA 5 within the next 3 candles it's most likely not a good signal. The best signals came from an immediate retrace below SMA 5 after the bounce off SMA 20.
I believe a setup is forming on the EURUSD as I'm typing and if the current candle close below SMA 5, I'll place a BUY order with a SL 5 pips below latest swing low, which is 1.2813. I would also not use a SL bigger than 30 pips, but that's just me.
Also an idea to catch the trend without having to sacrifice pips is to move your SL to BE once you are 20 or 30 pips positive. That way if the trend turn around you are BE, but if the trend runs you are in the pound seats :-)
Hi, is it possible for someone to list the indicators required to test this system.
For those of you who picked this trade this morning would have made 30 pips! Now we wait for the next setup.
I'm getting good signals with EU H1.
Are any of you guys using this strategy?
This is a win with low risk and high return strategy. Thank you for sharing. I will try this in 15 time frame.
nice system .thanks for sharing...
At the author of the thread...
I am happy ...
that anybody else exist that want to trade BOUNCING BACK INSTEAD OF BREAKING THROUGH.
Maybe my ideas could help to increase this strategy
I would only enter when price additionally to your settings bounces back from stronger support & resistance based on fractals or something like this ... no fibonacci etc..... it could help to catch more huge movements with very, very good risk-reward-ratio.
Please take a look here and proove if it could be valid additionally to your system - I could also need your help and advice-
Much better for the eyes and much more information if you use candlesticks instead of stone age bars. Pin and engulfing candles are good confluence signals for decision making.
Hi, can u please explain the same scenerio in Today's 15 Mins chart
Thanks in advance