Thursday, September 1, 2011

Review of my current trading method

So, here is what I am doing so far:

I am a price-action trader (95% technical, 5% fundamental).  I am looking for cues in the charts to tell me what is LIKELY to happen next.  I manage my risk (no more than 5% of account risked at any given time), seeking at least 2x profits on my risk.  I only trade off of the daily and H4 charts.  I use the weekly time frame to get perspective on trends and S/R levels.  I am first and foremost looking for pin-bars, inside-bar fakeys, and indecision-bars.  If I see these I look for other signals to validate the trade (support and resistance, trendlines, bias, confluence with the same currency bases, perhaps fundamentals, and currently - I am testing out this supply and demand aspect).  I watch all the major pairs.  That in short, is my system.  I don't use any indicators at all.

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