Sunday, July 17, 2011

Swing: Zigzag - EMA 30 - Stoc - Fib

Indicators needed:
1. Zigzag
2. EMA 30
3. Stochastic
4. Fibonacci Retracement or Extension

Time Frame: H4 / D1

Trading Plan:
1. Look at zigzag. Make sure it has finished performing its upward/downward move.
2. Look at stochastic. Make sure it is crossing over from either overbought/oversold level.
4. Draw a fibonacci retracement if price is above EMA 30 when you sold. TP at 50%.
5. Draw a fibonacci retracement if price is below EMA30 when you bought. TP at 50%.
6. Draw a fibonacci expension if price is below EMA30 when you sell. TP at 100%.
7. Draw a fibonacci expsension if price is above EMA 30 when you buy. TP at 100%.

Example:
1. EUR/USD
200 pips

2. USD/JPY
70 pips

3. GBP/USD
60 pips

4. USD/CHF
70 pips

5. AUD/USD
100 pips

6. EUR/CHF
170 pips

7. EUR/JPY
75 pips

8. EUR/GBP
-77 pips

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