Forex, gold trading strategy with important price zones on each trend.
We have come to this financial market and surely have learned a lot about successful trading methods. one of which is also loved by the majority of users is to observe price action. In this content we will cover a part of this issue
with short content is to determine the price reaction zone. we have an illustration with one case, and you can understand in the opposite case.
Rule:
1 identifies a trend that has taken place and has ended, which can be an uptrend or a downtrend. Just need to determine the highest price area and the lowest price area.
2 wait until the current price breaks the trend defined in step 1.
3 Determining the price reaction zone is the price zone in the current trend, where the strongest failure of the reversal dispute occurs.
4 execute trades in the same direction as the current trend
5 identifies stop loss at the failure reversal zone, and take profit at a ratio of 1:2 or more.
This strategy can have multiple stop loss, but with double or triple win rate we win overall.