Concept of Forex Strategy
– Using price action to identify potential out using Support and Resistance.
Time-frame and currency Pairs for forex strategy
Time-Frame: H1 and above.
Currency Pairs: All currency pairs.
Long Trade Setup for this forex strategy:
- Use at least 2 Lows and 2 Highs to identify the Support and Resistance respectively.
- Identify candle that closes above the Resistance.
- Entry Price is at the opening of the next candle.
- Stop Loss is 60% of the range below the Resistance.
- Take Profit is at 1:1 risk-to-reward ratio. If Stop Loss is 65 pips, T ake Profit will be 65 pips from Entry Price
Long Trade Example:
The same with short Trade Setup for this forex strategy: