Simple Forex strategy
Forex strategy for beginners "The Easiest Forex Strategy" is entirely in line with its name. It contains minimum trading conditions, does not use complex indicators that can confuse a beginner, and most importantly - allows the trader to earn by spending a small amount of time and effort. It is only relevant to follow the trading algorithm clearly and follow the mani-management rules.
It is essential to understand that trading in Forex, even with the most straightforward trading strategies, must be a conscious process. A trader needs to understand what is behind every strong market movement to better see the situation in general.
As you know, there are three price states (quotes): bullish trend, bearish trend and flat (sideways trend). According to the Forex strategy beginners "The easiest Forex strategy," we will use trend movements, i.e. the first two options. After all, it is in the trend that the easiest way to find a good entry point, as well as to control open positions, getting the maximum profit on strong trend movements.
The essence of the trading strategy (CU)
This vehicle uses two main price properties:
It is easy to apply rebound tactics from the trend line. The maximum efficiency will be achieved when opening a deal on the third touch.
If we see five or more touches of the trend line, we advise not to trade in such cases. In this case, the probability of breaking this line with the subsequent trend change is very high. Therefore, we trade only on the third bounce and always on the trend. The quote rises - we open long positions, falls - short ones.
Buying by Forex strategy beginners "The easiest Forex strategy"
First, you will need to draw a trend line on two points: these are two rising lows, i.e. the trend is upward.
When price approaches the trend line three times, we open a long position (buy).
Stop orders. The current volatility should determine the specific size of StopLoss and TakeProfit. It is essential that StopLoss is not less than 30-40 points, and the ratio of StopLoss to TakeProfit is 1:2, i.e. the size of TakeProfit should be two times larger.
We trade only on the EUR/USD currency pair, time interval H4.
Sell on Forex strategy to beginners "The easiest Forex strategy"
You will need to draw a trend line on two points: these are two falling highs, i.e. a downtrend.
When price approaches the trend line three times, we open a short position (sell).
Stop orders. The StopLoss must be at least 30-40 points, and the Stop Loss to Take Profit ratio is 1:2, i.e. the size of Taking profit should be two times larger.
We trade only on the EUR/USD currency pair, with interval H4.
An algorithm is simple and based on the regularities of price movement in the trend movement.
It is important to remember that you can trade on both the 4th and 5th bounce of the price from the trend line. The most crucial point is that we do not trade after the 5th rebound! That is, you can enter the market on the 3rd rebound, you can register on the 4th or 5th, but not on the 6th!
This is all the "wisdom" of the Forex strategy for beginners "The easiest Forex strategy". It is very desirable to know this strategy for every Forex trader, especially for beginners, because it allows to consolidate the learned theory in practice and earn their first money on the exchange. Be fruitful and remember that the profitability of trading depends very much on the broker you choose!