Senin, 06 Agustus 2007

Playing with MA



I would like to play with Moving Average and see what how useful this indicator in certain circumstances ... our goal is to get 10 - 20 pips and give other pairs to make an opportunity when the main or our favourite pairs are not "in the mood" time.

try put 5 indicator of the following; Simple MA(1 & 8) with blue lines, Exponential MA( 19 & 29 ) with red lines, and Simple MA( 50 ) with yellow line.

and open chart with 30M, 1H, and 4H time period put all the indicators in each chart.

the situation that we are going to take advantage is the following:

analyze every time "Simple 1" are going to cross "Simple 50"
it is so simple to get profit when this situation happens. but please notice, not when the market is "neutral". and do it only in 1H and 4 H period, in 30m charts oftenly not happening ... so better put this time chart out from this opportunities. about the profit target is up to you ... are you dare to try to get 20 pips ... or even 40 pips ? your choice....

analyze every time "Simple 1" crossing "Exponential 19"
Between Exponential 19 and 29 there is a gap, usually a wide one after the price take a long run up or down (this can be trace with the Simple 1). see what happen after Simple 1 crossing the Exponential 19. In often case the prize (if can't say the market) always try to hit the second red line (Exponential 29). We may fine that not always bull/bear candle fills in this gap, but there, usually, and attempt from market to reached over the second line. This oftenly happens even in 30 minutes period. with this, at least 10 pips you will find it easly to get (always cross your finger)

with this simple indicator and anlysis you may have another opinion where to put your pending order.... since you are not going to stare your chart 24 hours...

...for me with only 10 pips target, i can leave to do somthin else without worrying it so much. only anxious to see the result. and i can take 3 - 5 pending orders for a day, since usualy only 2 that will hit the price. never happen to me 3 of my pending target get the price, so i can give my margin to relax...

Finally, to make sure what is the trend or just to make sure you want to do it safely, always cross check with other time period before you decide to enter the market. example, if you want to enter the 1H period, check it with the 30M and 4H period. Is it the same pattern/trend or not ... always be wise (not greedy) and keep your mind neutral ... (that's what pipsology tought me)

"..there's always an oportunity whenever the market is still open ... its just a matter how you see it ... see right, think right, act right"

Hepi trading all....

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