You should have known these TOP 3 Forex Trading Strategies!

Today , we will be going through some of the most commonly used trading strategies in Forex trading. And I am gonna share with you all 3 of them here, for FREE!

Flag continuation

This is one of my most used strategy, it can be used on any time frame and pretty straight forward.

Of course, over here we need to identify strong trends such as the one above. We can see that there was a initial push up and consolidated. and there was another push up,right now price seems stalled in a range between 122 to 122.4.

A breakout to the upside would be for us bias to go on long.

Chart as shown above, eventually broke up. Entries could be found in the orange box shown.

How you gonna enter the market depends on what type of trader you are, will leave it to you at that.

Moving Average as a Guide

For this strategy, we will be using the higher time frame moving average (in this case we using EMA 100) to time our entries be it short or long. Here are some quick examples and short explanations.

Using EMA 100 for trend trading

On the figure above, we have a break above the 100 period EMA.

A pull back to the moving average will be signal for us to get ready to look for long.

Here we waiting for the consolidation to clear and breakup in order for us to initiate a long position.

A break out of the consolidation should have allowed us to initiate a long position as shown above (bold green arrow) !

Using EMA 100 as a reversal zone

The chart above is showing a uptrend, trying to push across the 100 EMA of the 4 hourly (which is our higher time frame).

It got rejected and right now it is retesting the 100 EMA again.

Clearly, a consolidation was formed and the breakout at the bold red arrow area can be a signal to go on short.

Bollinger Band pierce (as a signal) strategy

Bollinger band (BB) pierce, is basically the poking through of pricing on either side of the BB.

In this strategy we are looking for continuation trade entry and BB pierce should serve as a signal for us to get READY.

In the following example, you will understand how the strategy can be applied in real time trading.

This chart clearly is on a downtrend with observed prior consolidation and push down. On the right hand side, we do see again a consolidation and this time round the price tried to push higher and pierced through the BB but got rejected and failed to push higher.

This gave us an indication that sellers are pretty much in control.

Our plan for this is to look for shorting opportunity.

Here, in the orange box shown, we will wait for breakout to look to short this market.

Hope these strategies has been helpful for you.

And if you would like to find out more about strategies that I taught in my trading course, do feel free to find out more here!