Forex Trading - View Single Post - Pimpology Lives On

FX Pimp · 03-23-2009, 12:43 PM

This lesson is designed to outline what in my opinion is one of the best set-ups a day trader can use to help maximize profits both long-term and short-term.
If you want 20-30 pips from a trade lasting under an hour this set-up is for you. If you want 200 pips or more from a trade lasting a few hours or days then this is for you too.
It makes no difference of your trading style, everyone can benefit immensely from mastering this strategy.

I look at a 60m chart for overall direction and a 5m chart for entry for breakouts, reversals, box plays and continuations.

simply set out your charts side by side with a 5m on one side and a 60m on the other side of your screen.

the only pairs we are interested in trading are GBPUSD EURUSD USDJPY GBPJPY & EURJPY.
these are the only 5 pairs you'll need to trade in order to make over 1000 pips per week.

All the moving averages on the charts are 20's and 50's.
20 exponential and 50 simple from different timeframes.

On the 60m chart I have 20/50 from 60m, from 4hrly and from daily.
On the 5m chart I have 20/50 from 15m, 60m and 4hr
I also have a false breakout m.a which runs through the candles and works well most of the time.
On the 60m it's a 5ema and on 5m it's a 4ema.
On the 60m chart this represents the 15m 20ema and on the 5m it represents the 1m 20ema.

The CCI's I use on the 60m are 21/84/5
The 21 is the immediate trend, the 84 is the 4hr trend and the 5 is the 15m 21CCI or the 'trigger'
On the 5m chart I use a 63 which is the 15m 21CCI and the 4 which is my 1m 21CCI or my entry trigger.

I also use Daily, Weekly & Monthly pivot points which offer great areas to enter and exit specific trades.

Here's a snapshot of how your charts should look.

Whilst here. Keep an eye on this GBPJPY. IF it breaks up through 142.00 with the averages close enough to sustain a push this could go up by 2000 pips.
My order is set at 142.10 and I'd expect it to get triggered at some point this week.

In the next lesson I will explain in greater detail the pairs we want to cover, why, and how each of these affects the performance of the other.