Currency Trend:
We need to know what is the current trend before we place a position. Never trade against the trend (if you not a reversal trader!). Always trade follow the trend to avoid you lose your money.
Daily Chart Hi-Lo:
First of all we need to refer to yesterday daily hi-lo price. After that, put a horizontal line for both hi-lo price. (Please read my recent article about daily hi-lo trading strategy.)
Picture 1 : Daily Chart
Breakout is when today price penetrate yesterday high or low which is we put a remarks using horizontal line.
Changing Your Chart Time Frame
When today price moving towards yesterday high or low, we'll use 5 minute chart. Why? It is because, by using smaller time frame we can see clearly when the price will breakout/penetrate yesterday hi-lo (horizontal line).
Picture 2 : Hourly Chart
Picture 3 : 15 min Chart
Picture 4 : 05 min Chart
Enter position either buy or sell (depend to price moving trend) after one full candlestick perform.
Take profit = 5 pips (spread ± 5 points).
