If you are a Forex trader who’s either profitable or seeking profitability then one thing you might have noticed is, that there is a closer correlation between chart timeframes and win rate for every Forex strategy.
In this article, I will show you some highly profitable Forex strategies that use timeframes as low as 15 minutes and have greater outcomes.
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The basics of this Forex strategy.
#Strategy number 1.
- We’ll use two timeframes, (15 minutes and 1 hour) – while we will be using the 15-minute timeframe for trade entries, the 1-hour timeframe can not be ignored as it will help us find signals.
- Confirm the market structure – Is the market bullish? Is it bearish? Or it is sideways. You need to define the market structure before proceeding with this strategy. One way to confirm the market structure is to use price action. But in our case, using trendlines is ideal.
- Draw a resistance line at a key level and wait for the price to retrace to have additional confirmation.
- Once the price is rejected at the resistance level for the second time, enter your trade.
The secret for succeding with this strategy is to be patient and wait for the price to come back to the resistance level.
It does not matter how long it takes, just wait, and only enter a trade when you have seen the confirmation.
How to open a trade with this strategy
- Open the 1-hour chart and wait for the price to correct to your key level (the resistance zone).
2. Switch to the 15-minute timeframe and check for trading signals. A trade entry is confirmed when the price breaks out of the resistance zone. Or if it bounces towards support.
Is this a Holy Grail trading strategy? Is this strategy 100% foolproof? Hell no!
You will not win all the trades with this strategy but you will sure win a good chunk of them over time.
Remember, there is no strategy that is 100% accurate.