Forex Breakout Strategy: Simple Trade, Simple Profits.

[asiaforexmentor]

Forex Breakout Strategy: Simple Trade, Simple Profits.

 

FOREX BREAKOUT STRATEGY

Forex Pair: Usd Chf

In Forex trading, there are various forex trading strategies.

I would like to show you a forex breakout strategy as shown in the chart above.

It is simple yet highly powerful.

In the chart above, we see a series of bearish bars (red bars) -> marked by the yellow arrow pointing down at the top of the

 

picture.

This series of price action bearish bars represent the selling momentum in the market. And the selling is gaining momentum

 

with the increasing number of bearish bars.

Therefore, we will be watching the chart for a chance to trade it down, considering that the trend MAY have change from an

 

uptrend to a downtrend.

Forex Breakout Strategy: Simple Trade, Simple Profits

 

Soon after, it formed a big long price action bearish outside bar as marked by the yellow circle.

(This confirms the downtrend as it has broken the previous lows of the previous uptrend)

With the big long price action bearish outside bar, and the previous series of bearish bars.

- It confirms the selling momentum in the market is very strong.

Immediately after the bearish outside bar, it forms 2 smaller inside bars after which.

Forex Breakout Strategy: Simple Trade, Simple Profits

 

What i see here is a setup for a forex breakout strategy trade.

- Since the selling momentum is so strong, and with a price action bearish outside bar. We can place a pending sell order

 

below the bar.

Therefore, i will place a pending sell order as marked by the yellow dotted line.

And my stop loss is above the previous bars opening and closing. (marked by the orange line SL)

Our First take profit target will be the previous low (marked by the orange line TP1)

And our final take profit target will be at the next low (marked by the orange line TP2), which also coincides with our 150

 

ema.

Forex Breakout Strategy: Simple Trade, Simple Profits

 

Forex Breakout Strategy

Pls read through the explaination while looking a the charts for at least 2 times to fully understand what i meant.

I hope you’ve learnt how i would have entered on the above situation (forex breakout strategy) and how you can add this

 

method to your future trading methods.

Do sign up above for our newsletter if you have not done so already as i will update you via email constantly with new forex

 

trading strategies.

 

Ezekiel Chew

Asia #1 Forex Mentor

[yenney611]

thank you for sharing this thread. and i do agree that it is better to simple trade and gain profit because a little mistake will be committed. aside from that, we would not risk all our money and would not end up in margin call.

[rexway]

I realy thank you for this thread,I realy gain more knowledge from what you teach us here,and I will confes that the level of my stoplos and take profit will be minimise ,I now know how uptrend and down trend can affect my trade

[budado]

One thing that we must all know is that we need to trade with patience if we going to earn big like this one. Its because its hard to trade if you don't have good timing. Just imagine if you open too early or too late on opposite trend. you will end up getting mc big time. That's why its always important to wait for that proper moment before you open a position to ride this opportunity.

[flybiz08]

I like the idea of breaking you take profits and I can see that you did that in two fold. Forex breakouts are simple and easy to trade if a trader knows how to trade it. First thing is to identify a potential range and await the breakout.

[flybiz08]

I like the idea of breaking you take profits and I can see that you did that in two fold. Forex breakouts are simple and easy to trade if a trader knows how to trade it. First thing is to identify a potential range and await the breakout.

[Gee Dee]

Traders need to adopt proper trading strategy. And, traders are now enjoying opportunities to trade with diverse trading strategies and approaches according to their trading needs. Even many forex brokers are allowing working with diverse trading approaches. I am generally working as short term trader with the use of scalping. Scalping allows me to work with smaller trading lots and it ensures me maximum liquidity and flexibility that I desire always. 

[pipdmt]

The idea is to keep it simple and stupid and you'll make money.

[Namu]

indeed to be able to trade consistently is to think simple, and the basic technique of a trader is to buy at low and sell at high, and hopefully that basic method becomes very important

[Laidar]

You do not need to greatly complicate the strategy, because as a result, trading can go very tight.

[gds221]

I cannot single out one particular strategy that could be called the best. In my opinion, the trader should be able to use a number of strategies and use them on time.

[maspluto]

Trading plan will indeed be very much needed and needed so that traders can become better and can be maximized in carrying out trades that are in line with expectations and can become a trader of the month with Tickmill.
 

[gds221]

The strategy is quite interesting, I think that it is quite possible to take on.

[Thorgagar]

A trader must be able to use several strategies, which will depend on the situation in the market and how he is prepared.

[gds221]

The strategy is interesting, but writing that it is simple to make a profit is not worth it. Making money on trading is not as easy as it may seem at first glance.

[Vaabum]

It should be understood that there are no simple ways in trading, unfortunately.