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Scalping techniques and Journal 5 11 2015

Scalping techniques and Journal

Hello traders,

We had some nice trade signials  today.

Pound dollar was very calm in Tokyo session.She gave only one signal after the London open with the potential of 170 pips.

Notice how narrow is the Tokyo session.

Then BOE made a Super Thursday for bears with the following key points

  • BANK OF ENGLAND KEEPS KEY RATE AT 0.5%; VOTE 8-1
  • BOE SAYS OUTLOOK FOR GLOBAL GROWTH HAS WEAKENED SINCE AUGUST
  • BOE FORECAST BASED ON KEY RATE 0.8% IN Q2 2017, 1% IN Q4 2017
  • BOE SEES CPI BELOW 1% UNTIL H2 2016, DOWNSIDE RISKS TO OUTLOOK
  • BOE SEES DOWNSIDE RISKS TO U.K. FROM EMERGING MARKETS
  • BOE CUTS CPI FORECAST TO 1H 2017, SAYS POUND IMPACT TO PERSIST
The GBPUSD has broken below the 50% of the trading range for the year – keeping the sellers in control and the dip buyers/longs nervous.
Traders will now keep an eye on that level for resistance.  If the price can not get back above this level, the sellers remain in the dominant position.
The low from October 13 at 1.5199, is the next obvious target to get to and through. Swing lows from June and the beginning of September come in at 1.5188 and 1.5158 respectively.   At the end of Sept/beginning of October the pair moved below these swing lows, but activity was more two-way.  I think the market can “see” the other swing lows as more important targets.  The 61.8% at 1.50849 corresponds with the May low.
GBPUSD super Thursday bear party.

gbpusd 5 11 2015

GBPJPY acted similarly following GBPUSD potential for 200 pips.

gbpjpy 5 11 2015

EURJPY gave a long signal in the London open with potential to 55 pips.

EURJPY 2 11 2015

 

I have made a ninjatrader template for a scalping technique to share today.

Download below:

This scalping technique works in the one-minute time frame. It’s quite simple to understand and is composed of an automatic trendline,  the Stochastic indicator and MACD.

The Scalping Setup

Indicators: Stochastic with settings: (5,3,3) and MACD with settings: (13,26,9)
Preferred time frame(s): 1 min chart
Trading sessions: Euro ans US Sessions
Preferred Currency pairs: Medium to high volatility pairs (EUR/USD, GBP/USD, USD/JPY, GBP/JPY, EUR/JPY,…)

Download

Download the Forex Scalping Strategy With MACD and Stochastic for ninjatrader.

GBP/USD 1 Min Chart Example in ninjatrader

one minute scalping macd stoch

 

Trading Rules

Long Trade Setup:

The MACD indicator must be above the zero line (bullish territory).
Wait for the Stochastic indicator to go back above 20 from below (oversold).

This is the signal to enter a long position.

Place stop loss 1 pip below the most recent swing low point.

Price objective: Set at 10 pips above the entry point.

Short Trade Setup:

The MACD indicator must be below the zero line (bearish territory).
Wait for the Stochastic indicator to go back below 80 from above (overbought).

This is the signal to enter a short position.

Place stop loss 1 pip above the most recent swing high point.

1inscalpmacdstochtemplate

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