Hello. This is a trend based idea.The great thing about Pivot Points is they are a forward indicator. I will try to explain the Pivot Point FX idea's , but mainly for beginners for there journey is the longest and I'm not far off a beginner myself.Brief background Pivot Points where originally employed by US floor traders(Pit traders)on equity and futures exchanges as a way to get a gauge as to what direction price may move.Pivot Points work well in FX (especially the most liquid pairs).For more info on Pivot points just do a search there's plenty of info out there. Most retail trading platforms will have a chart package that offers Pivot points as a indicator ( use the weekly Pivot points). This idea is very simple using Daily charts and Weekly Pivot Points.I do not use any filters so feedback on a good filter to use would be appreciated.
*Go LONG ONLY if this weeks Pivot Point(WEEKLY)is highter then last weeks Pivot Point (WEEKLY). *BUY (set up order to GO LONG) at this weeks Pivot Point but ONLY if price opens below that Pivot Point(buying pullback)
* Go SHORT ONLY if this weeks Pivot point(WEEKLY)is lower then last weeks Pivot Point (WEEKLY). *SELL(Set up order to go SHORT) at this weeks Pivot Point but only if price opens above that Pivot Point.(selling rallies). I use 1/2 Daily ATR for stops , targets 3.5 x stop and trailing stops set at 1/2 break even on next day and break even on 3 rd day after entry. Exit position after 4 th day from open..( but you can use S1,S2 or R1, R2 as stops and targets)I use strict money management rules 1% and put the most important aspect of the trade on my discipline.This is by no means a holy grail, there is no such thing, please understand this system, no system will work all the time and it definetly won't work without strong money management rules in place and strong discipline.It is a very simple system , if it helps you look at trading from a different angle and opens up new ideas , I'm happy for you... cheers p.s sorry I don't know how to put a chart on the page to help .see ya
AUD Price at posting:
0.0¢ Sentiment: None Disclosure: Held
