Thursday, December 20, 2018

The Right Trading Strategy for Each Session

One of the facts is that the forex market is never closed. Even though the market is open 24 hours a day, 5 days a week, and 4 weeks a month, conditions in the market are always different. Today's price will be offered lower, maybe the next day the price will be offered higher

Strategy for Support and Resistance for the Asian session
In general, the prices offered in the market for this session are fewer than other sessions. By looking at prices that are generally small, traders can use their strategies to reach profits when the price offered. If the bid is small, then often the price doesn't move too much. Especially if there are in the area of ​​support or price resistance sometimes returns to the original price movement.

For this reason, understanding of sessions is needed in order to understand when the strategies you use in trading can be utilized. The Asian session is one of the slowest movements among the other sessions. For this reason, support and resistance strategies need to be used to limit market movements and capture opportunities for profit in the Asian session.

Breakout strategy for the European session
At 2;00 p.m WIB the movement in the European session was quite large. The liquidity of the prices traded is very much. Price volatility sometimes gets bigger. In this market many people consider the European session the heart of the forex market. Because movement is very large and forming trends will occur quickly.

The most visible thing is that liquidity began to come in at exactly 2:00 p.m. WIB. This opening of the market from London is starting to have massive transactions carried out by people all over the world. London is the center of the largest forex market, bringing the greatest liquidity. This can be seen in several major currency pairs such as EURUSD, GBPUSD, and others.

In this session, we need carefulness in anticipating the sometimes erratic market turmoil. Support and resistance in this session may be penetrated more easily to become a new trend. This is where strategies can be used using breakout strategies. Breakout strategy is able to create more profits because it utilizes a trend breakout caused by large-scale transactions throughout the world. By implementing breakout trading, traders will usually get profits easily and quickly after the London market opens.

Strategy for Breakout and Support Support for the American session
At 19.00 WIB the opening of the American market began. The liquidity offered in this session is also quite large, it can even move the market hundreds of points. At the opening of the American market, it turned out that the European session had not closed, and there was a buildup of transactions which resulted in increasing price volatility making the movement even more violent.

In the previous session you can only take advantage of the breakout strategy. Now you can use two strategies at once, namely breakout and support resistance (SR). To note, that at the opening of the American session, price movements will be similar to the London session until 10:00 p.m. From this opening, you can take advantage of the breakout strategy. After 10;00 a.m the price will be similar to the Asian session. At this time you can apply the SR strategy to your trade.

Read to Rating indicator - MACD is located in the first place
Read to Cypher Harmonic Pattern, the Most Accurate Reversal Signal in Trading


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