I'm a Day Trader and love trading. I trade the Indian Stock markets and use the same techniques for generating Daily Forex Signal.
Although, I do not trade any pairs in the Forex market with real money, as there are statutory restrictions on resident retail investors when it comes to trading Forex in the open market here, I have found my techniques highly profitable. Therefore, this blog will only concentrate on updating my Daily Forex Signals for major pairs in the Forex market.
This is a free signal service for now, till I decide to make it a paid one in the future. Don't worry, Folks! It will only be a small token donation, to take care of the expenses to run this diligently. Will update here when that happens.
You must understand that I'm able to offer this service at such a low price as I myself trade in the stock market on a daily basis. This service's primary goal is to steer clear off all the BS that can be found left, right and center on the net; and share my signals to as many people as possible.
Signals will be available anywhere between 11:30 AM - 12:30 PM IST (GMT +5:30). I'm a working professional with a day job like most of you. So, I will try my best to update the Daily Signals within this time.
Signals are valid till New York close.
Example Trade: Bought GBP/JPY at 143.08 with 0.04 lots. Will sell 0.01 lot after reaching TP1, sell next 0.01 lot after reaching TP2 and so on till all lots have been sold out after reaching TP4.
If price falls after reaching any of the TP levels, then, you would normally close all remaining lots if price falls to lower TP level and shows Price Action to fall further. Example: If price touches higher TP level 10 and then falls to lower TP level 8, then I will look for candlestick closure/pattern formation at around this level and see if price could fall further down. If, Price Action shown via candlestick is negative, then I will go ahead and sell all the remaining lots at market price or lower TP level of 8. Otherwise, will wait for Price to go up to higher TP levels and exit in a step manner as and when a higher TP level is hit.
The other thing to consider is when Price hits TP1. At this stage you would normally want to bring Stop to Breakeven + Spread + 1 pip. From here, whatever happens, you are risk free for this particular trade.
A word of caution for the initial moments when you have just entered the trade. Please keep a close eye on Price Action for candlestick closure formations, and try to determine if price is going to fall further. If Price Action via candlesticks determine that price could fall further, then wait till the closure of next candle to confirm price fall is imminent. You would normally exit the trade at this point and Do Not wait till actual Stop is hit as that could be many more pips away still.
This is how I trade stocks and use money management. You can have your desired lot size for all 4 TP levels as per your risk taking capacity and equity balance. My suggestion is not to risk more than 6% in any one trade.
I take the help of the following tools to decide on Take Profit levels on a currently Open trade:
Fibonacci, Trendlines, Support & Resistance, ADR, ADX, 20MA, 100MA
Following is an example of a typical Signal:
GBP/JPY:
Buy at / above: 143.04 Targets: 143.34 --- 143.71 --- 144.08 --- 144.45
Stoploss : 142.67
Sell at / below: 142.67 Targets: 142.37 --- 142.00 --- 141.64 --- 141.27
Stoploss : 143.04
Happy Trading...
Cheers,
DayTraderBT
