My name is Ludovico Romano and today I would like to share with you the third part of my personal trading strategy.
Have you ever thought of the possibility to become financially savvy and bring back home consistent earnings?
Well, today I will introduce you to the third part of my trading “simple money-making strategy’’ which will give you an edge on your Forex trading activity.
As this specific marketplace represents the biggest asset class in the world, leading to high liquidity, I honestly believe that this is one rich environment where to seek profit opportunities. In addition, because within forex we mainly trade appreciation and depreciation of a currency to another, geopolitical and macroeconomic factors have great influence on this market making it very volatile, therefore with lots of good scenario to increase your bank account.
Here at our trading academy, we pursue the mission of educating people to save money, by accompany them throughout statistically proven trading strategies, and saving time, by giving our audience tactical advantage on how to day trade using different approaches, in relatively short time. Thus, due to our vision, the techniques we develop will always be based on clear and objectives rules which can be traded at any stage of your investor journey.
Together with this article, I would also like to take the chance to personally invite you to my webinar on Thursday at 20:00 CET, where I will show, you with live trades, how to enter the market and take that profit you always wanted to have.
If you consider this valuable for you, please do not hesitate to come, visit our webpage and subscribe to our socials:
Follow us you will not regret it!!!
Money Making #3
As well as the second part of my program, in this section I will show you how to successfully scalp trading with a simple method which contribute to become extremely efficient while investing on forex.
In this specific scenario we will see how within time frame M1 and M5 we can take advantage of several market signals, when trading currencies pairs with low spread.
First step to trade effectively with this specific strategy, it is important to set up several indicators that will trigger those market signals we need, to open successful positions.
- Bollinger Bands
These are a technical analysis tool which is composed by three lines: Simple Moving Average (middle band) and an upper and lower band.
See image below:
When looking closer to this specific indicator we use it to better understand the volatility of an asset. Therefore, the external bands, are typically 2 standard deviations away from the middle simple moving average (SMA) giving us indication on volatility.
- Smoothed Moving Average
Smoothed Moving Average is an Exponential Moving Average, however longer period is applied. Thus, it gives the recent prices an equal weighting to the historic ones. This is a widely used indicator which will give signals, especially on a trending market.
See image below:
How to trade this strategy
After deciding which financial instrument to trade we need to set up our indicator and wait for market signal
See table below:
The reason we set up our trading chart with these indicators is because they will allow us to spot the perfect entry points:
See image below for short entry:
As the last image shows we want to enter a short position when the price reaches upper band but still below Smoothed Moving Average.
- Stop Loss
Put stop loss at breakeven, therefore, on top of the structure where the position has been opened.
- Take Profit
We want to take profit when price touches the lower band.
See image below long entry:
The picture shows that we want to enter our long trade when the price level touches the lower band but still above the Smoothed Moving Average.
- Stop Loss
We place our stop loss at breakeven where we triggered long position trade
- Take Profit
In this case we will take profit when the price come into contact with the upper band.
To conclude, I would like to remind you that if you find the content of this article inspiring please do not hesitate to come and visit us to our webpage and socials:
In addition I would like to invite you again to my personal webinar on Thursday at 20:00 CET where we will go through in more details about the “simple money-making strategy’’.
I would like to thank you all for your participation and in the meantime, I wish you a great trading day.