2 trap Direction Strategy

Trapping techniques such as this is quite popular among trader and very profitable if applied when the important economic event occur. It Does not need indicators, which required only the ability to install the order price (price of the message).

Time for Trading is when U.S. market open around 19.00 WIB (GMT +7) or discharge in accordance with the important economic data from the United States. To find out news and economic data that will be out on that day, I recommend you to see http://forexfactory.com Calendar daily. on here you can easily see the economic data that will come out, how many hours and how the importance of data.

Economic data that has a significant and much-awaited person / trader here is usually economic data NFP (Non Farm Payroll), Core CPI (Consumer Price Index) and the FOMC's announcement on interest rates increase. NFP announced that every day the first Friday of each month for example can make the price movement of GBP / USD around 200 pips. Very interesting huh?

This is the strategy:
See Economic Calendar Daily, I usually upgrade http://forexfactory.com example in the weekly trading with NFP eg: on Friday the first week was about NFP data that will be released in the United States 19:30 hrs WIB. In http://forexfactory.com You can adjust the time the United States and Jakarta (WIB) with the way the time period to be +7 akan forexfcatory calendar automatically adjust the time Jakarta.

Open your trading platform. We suggest that when economic news was released hours in 8:30 you are already online for 30 minutes prior to preparation. Before 8:30 price movements are usually not too much because the markets are likely to news that will be announced later.

Five minutes to a time which is 8:30 hours 8:25 ,attach order in two positions at once. That is the position of BUY and SELL. You should see the price at the time. To install add the price of order 40 pips to BUY position and reduce the position for 40 pips SELL. Then attach Sotp Loss pip 30, Target 50 pip profit pairs or up to you when you complete the movement of prices at that time and want to get the maximum benefit.

Example of how to install a trap in your trading platform. For example, at the time the price GBP / USD move around 1.7230

Place the first position that is "BUY"

Click the tab "Orders" on your trading patform:

Fill with the instrument = "GBP / USD"
Buy / Sell = Select "Buy"
Price = input price "1.7270" (from 1.7230 + 0.0040 (+40 pip))
Price Select Type = "Stop"
Quantity = Fill in the amount of money you want to trade (remember leverage 1:100)

$ 1 if the transaction value of the 100 entries in the Quantity
When the $ 5 transaction value of the 500 entries in the Quantiy
$ 10 if the transaction value of entries in the 1000 Quantity
$ 200 if the transaction value of the 20,000 entries in the Quantity column, dst

Exit Stop Loss = Contents of "1.7240" (from 1.7270 - 0.0030 (30 pip)
Exit Target = If you want to target profit 50 pip enter "1.7320" (from 1.7270 + 0.0050)
Desk = select "Live" if you want to trade with money indeed select "Virtual" if only wish trading simulation

Click "OK" your transactions directly sent and recorded in the Order

Place the 2nd position to the "SELL"

Click the tab "Orders" on your trading platform, then click "New" tab will display the field:

Fill with the instrument = "GBP / USD"
Buy / Sell = Select "SELL"
Price = input price "1.7190" (from 1.7230 - 0.0040 (-40 pip))
Price Select Type = "Stop"
Quantity = Fill in the amount of money you want to trade (remember leverage 1:100)
Exit Enter = Stop Loss price 1.7220 (from 1.7190 + 0.0030 (30 pip)
Exit Target = If you want to target profit 50 pip enter 1.7140 (from 1.7190 - 0.0050)
Desk = select "live" if you want to trade with the money indeed. Select "Virtual" if only wish trading simulation

Click "OK" then your transaction directly sent and recorded in the Order

Now you have two positions at once order

Position in the Order BUY 1.7270 SL 1.7240 TP 1.7320
Position in the Order SELL 1.7190 SL 1.7220 TP 1.7140

After that we waited until 19:30 WIB through. After the economic news this NFP announced price will usually rise or move down drastically. When the price moves increased, BUY order will closed. Or When the price and move down, SELL order will closed. This is trap i mean.
When the position of order "buy" closed, you can cancel the position of order "sell." Similarly, vice versa.
This strategy can also be used at events such as the economy GDP, Home sales etc. but not as much as NFP and Core CPI news.

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The best forex indicator

"Does the indicator really powerful to predict movements in the price?" And believe me, you had to spend much time finding and research to find answers to these questions. Seismograph as an expert, he can know the condition / status of the volcano is only graphics, and even able to accurately predict when the mountain will erupt. So, should you also can check the market situation and price movements to predict the direction, also only from the graph. Not so? In This time I tried snoop actual indicator is powerful in detecting the direction of the market.

Well, let's start ...

Basically, all the existing forex indicator is very adequate to predict movements in prices. Often only, you do not know when an indicator is used. I mean, a particular indicator has a different function with the other indicators. For instance, if you force the use diversified trend following indicators on the market that are currently ranging then you will not even get accurate signals so you can be trapped. Conversely, if you use the indicator on the oscillator are trending of the market will also provide similar results. I have some useful tips on how to use the indicator appropriately. Please your knowledge of the following:

1. Identify the market situation. This absolutely must be done before you select an indicator. I am sure you already understand that is not all indicators can be applied to any type of market. You have read in my tutorial forex market that are trending time trader should use trend following indicators, while at the market are ranging, traders should use oscillator indicators. Please read the back if you forget this.
2. Customize your Technical Trading. You choose the technical trading "breakout system" or "pullback system". Both of these techniques can be applied in markets that are trending and ranging. But you must notice that in the technical breakout system akan less good if you use oscilator indicators. Alternatively use indicators such as trend line or moving average. So far I like the indicator oscilator awesome oscillator, RSI, and others are very good if used for technical pullback. You may combine it with the moving average and fibonacci formula only if the conditions in the market trending.
3. Indicators Synergy you. Whatever your favorite indicators, he can not be alone. But, trading signal is much more accurate if you combine it with other indicators. That needs to synergize in this indicator is both should support each other. Easy to do, not the combining of two or more indicators of different functions and uses. If you do that, believe you will be confused because it made a trading signal generated is not consistent. Take an example, put the indicator and the stochastic oscilator moving average chart in MetaTrader you. See when the moving average over the (signal trend up - get open), but sometimes shows stochastic is overbought conditions (above level 80). You dare to buy? I am sure you will doubt, is not it?

Okay, I hope these three simple tips can be useful. The need to always remember is that forex is not exact sciences, so you will not find the magic formula that can be applied as in mathematics. Rule does not apply if it so well. Forex more appropriate as art, the art of probability. Whatever indicator you choose and the strategy or technique that you apply, they all die on the question how many percent level of probability. Although this is also how many percent can not be measured in quantitative, but the way the selection of appropriate indicators will be able to increase your level of qualitative probability. How do you think?

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