FOREX SIGNAL FOR GBPAUD ON 27TH FEBRUARY, 2009

GBPAUD has just broke an is ascending upwards of an ascending triangle. If you trade this pair, here is a bullish confirmation to buy this pair now. 

Timeframe is 30minus chart

so, fix your targets and stoplosses +30 and -30

Good trading

SELL SIGNAL FOR EURUSD, 27TH FEBRUARY, 209

EURUSD can now be sold. Enter a short/sell market for EURUSD @ 1.2668 as the price has broken down the support of the triangle. We will be looking for around 70 pips here. So, we will exit at 1.2598

This is a 4hour chart.

Happy Trading

Forecast for EURUSD, 27TH FEBRUARY, 2009, FRIDAY

EURUSD has formed an ascending triangle in the 4hour charting. This pairs remains bullish but we can't trade yet as we will wait for the break of this triangle. If prices breaks this triangle from above, we will go bullish but if price eventually breaks from the support area, we will sell this pair. Trade for this pair remains neutral till the signal is confirmed by our trading software.

SELL SIGNAL FOR NZDUSD ON 27TH, FRIDAY, FEBRUARY 2009

NZDUSD has just broke down downwards of a channel support line. The pair is bearish as the 4hour chart of NZDUSD is also trading down under a support line. 

Timeframe is 1hour chart

Good trading

SUMMARY  

SELL NZDUSD now @0.5072, take profit at 0.4972 (+100pips) and stoploss is 70 pips

EURUSD IS FOR SELL NOW, 26TH FEBRUARY, 2009, THURSDAY

EURUSD has just broke down downwards of a channel support line. The pair is bearish as the 4hour chart of EURUSD is also trading down under a support line. Place sell order at 1.2740 and take profit at 1.2640 (+100pips). Timeframe is 1hour chart

Good trading

SUMMARY  

SELL EURUSD now @1.2740, take profit at 1.2640 and stoploss is 70 pips

FOREX SIGNAL FOR CADJPY PAIR, 26TH FEBRUARY, 2009, THURSDAY

CADJPY just broked out upwards of an ascending triangle. The pair is very bullish and the bullish confirmation is now established on this one hour chart. Buy now @ 78.07 Prepare to take profit whenever and whereever the GBPJPY pair reaches our target of 141.50. stoploss is 90 pips.

And the best of all, the pair is also very bullish in our daily, weekly and monthly timeframes. For now, we will only buy this pair. The pair has broken upwards outside an ascending triangle in both the daily and weekly timeframes. The candlestick of monthly chart is also a bullish harami

Good trading

FOREX SIGNAL FOR GBPJPY ON 26TH FEBRUARY, 2009

GBPJPY just broked out upwards of an ascending triangle. The pair is very bullish and the bullish confirmation is now established on this one hour chart. Buy now @ 138.35. Prepare to take profit at 141.50. stoploss is 90 pips

And the best of all, the pair is also very bullish in both daily and monthly timeframes. For now, we will only buy this pair

FOREX FORECAST FOR GBPJPY, USDJPY AND EURJPY PAIRS

GBP/JPY to 150.00 - EUR/JPY to 130.00

The GBP/JPY and the EUR/JPY have both been moving higher, and with the Japanese yen (JPY) continuing to weaken, it doesn't look like their up trends are going to stop anytime. We saw slight pull-backs on both the GBP/JPY and the EUR/JPY yesterday and today's morning, but those are going to be short lived. The JPY just doesn't have any strength behind it right now.   Within the next week or two, I see the GBP/JPY moving back up to 150.00 and the EUR/JPY moving back up to 130.00.   USD/JPY: Target in sight 100.00 The Dollar has had an incredible run lately and the strength looks to continue. The resistance level is 100.00 which was last hit in October of 2008.  There is also an earlier resistance level at 98.92 which is the current .50 Fibonnacci retracement level.

Why Adding Indicators Hurts Your Trades

by John Jagerson

I hear investing "instructors" suggest that adding several technical indicators will increase the probability of a successful trading outcome. This is a fallacy that plagues a lot of traders, especially new traders. Trading the market is not just a numbers game but there are some things we know about statistical analysis that can help you understand why this is a fallacy and why it can hurt your trading returns. Assume that you are encouraged to use three different technical indicators. The first is a stochastics that has delivered a 40% probability of a successful trade in the past. The second indicator is a MACD with a 30% probability of success. The final indicator is a moving average with a 20% probability of signaling a successful trade. If you wait for all three indicators to agree, what is your probability of a successful trade?

Many of the instructors and authors I have seen would suggest that your probability is cumulative. Therefore, based on the numbers above your probability would equal 90%. It doesn't take long for traders to realize that simply adding indicators does not actually result in those kind of returns - why not?

Technical analysts are indicators to make a statistical estimate of a successful trade outcome. However because one technical indicator does not affect another the analysis is being conducted "with replacement." That is a statisticians way of saying that because the indicators cannot affect each other, merely adding more of them to a chart will not increase the probability of being right. In fact, from a statisticaly perspective, the probability of a successful outcome always going to be equal to the most accurate indicator or 40%. 

The danger of this kind of analysis is that by waiting for confirmation from several indicators you have maximized the amount of lag before taking a trading signal by not taking action until they all agree. This decreases the average time you are in a trade and its profit potential. Assuming that risk control (stop losses) remain constant, you have shifted the risk reward ratio further out of your favor. That is a very dangerous thing to do. 

The underlying message here is a positive one. Managing and waiting for a dozen indicators to agree is time consuming and confusing. Specializing and becoming proficient in your analysis by simplifying the tools you are using is easier and does not come with disadvantages. http://www.learningmarkets.com

FOREX DAILY SIGNAL FOR 26TH FEBRUARY, 2009

TRADE SIGNALS/SET UP FOR TODAY

BEARISH PAIRS FOR TODAY (Aim to Go short/sell these pairs today only)

NZDUSD               

GBPUSD     

AUDUSD

EURUSD

CADCHF

EURAUD

CLICK THE LINK BELOW TO SEE WHEN TO SELL THESE CURRENCIES TODAY

TAKEPROFIT IS 100 PIPS AND SET STOPLOSS TO 90PIPS

 CLICK HERE FOR DETAILS ON WHEN TO TRADE 

BULLIS PAIRS FOR TODAY (Aim to Go long/buy these pairs for today only)

 USDCHF                   

EURGBP

NZDCHF

USDCHF

USDCAD

AUDCAD

CLICK THE LINK BELOW TO SEE WHEN TO BUY THESE CURRENCIES TODAY

TAKEPROFIT IS 100 PIPS AND SET STOPLOSS TO 90PIPS

 CLICK HERE FOR DETAILS ON WHEN TO TRADE  

*IMPORTANT NOTICE: These comments are for information purposes only. The information contained on this document does not constitute a solicitation to buy or sell by autopilot forex team and we are not to be available to individuals in a jurisdiction where such availability would be contrary to local regulation or law. Opinions, market data, and recommendations are subject to change at any time. Forex trading involves substantial risk of loss and is not suitable for all investors.

FOREX FORECAST FOR EURUSD

Variants of events to develop:

Growth from 1.2695 upwards, and if the pair manages to rise above the level 1.2950; levels 1.3130 and 1.3300 will be reached.

Be ready to drive your trades to this point as EURUSD is bullish today from the daily and 4hour charts

AND REPORT FROM THE DAILY GRAPH OF EURUSD

   From the technical picture at H4 graph it’s seen that the pair is going to break upwards. In case it passes the level 1.2890, the figure will be considered broken and the level 1.3820 will become the target of the pair. The old and well-known level 1.3300 will be an important intermediate resistance; upon the reaching of this level a bounce to the support level 1.2890 will be possible, followed by the resuming of ascending trend to the level 1.3820.

*IMPORTANT NOTICE: These comments are for information purposes only. The information contained on this document does not constitute a solicitation to buy or sell by autopilot forex team and we are not to be available to individuals in a jurisdiction where such availability would be contrary to local regulation or law. Opinions, market data, and recommendations are subject to change at any time. Forex trading involves substantial risk of loss and is not suitable for all investors.

FOREX TRADING DAILY SIGNAL, WEDNESDAY 25TH FEBRUARY, 2009

TRADE SIGNALS/SET UP FOR TODAY

BULLISH PAIRS FOR TODAY (Aim to Go long/Buy these pairs today only)

 NZDUSD                 CLICK HERE FOR DETAILS

GBPUSD                   Buy @ 1.4481, target is +100 pips or close @1.4581

EURCHF                   

AUDCAD                  

EURUSD     BUY @  1.2857, target is +100pips or close @ 1.2857

EURGBP

AUDUSD

 

 

 

 

BEARISH PAIRS FOR TODAY (Aim to Go short/Sell these pairs for today only)

 USDCHF                   sell this currency @          CLICK HERE FOR DETAILS

EURAUD

 

READ ABOUT OUR DISCLAIMER HERE

 *IMPORTANT NOTICE: These comments are for information purposes only. The information contained on this document does not constitute a solicitation to buy or sell by autopilot forex team and we are not to be available to individuals in a jurisdiction where such availability would be contrary to local regulation or law. Opinions, market data, and recommendations are subject to change at any time. Forex trading involves substantial risk of loss and is not suitable for all investors.

GOOD TRADING TODAY

FROM AUTOPILOT FOREX TEAM

 

 

 

FOREX DAILY SIGNAL FOR MONDAY, FEBRUARY 24TH, 2009

              

A Bullish Divergence is noticed on NZDUSD. This pair should be bought for today. 

Buy at 0.5076-------Target is +100 pips at 0.5176 or close at the end of this today's closing trade

Stoploss is always -150 pips

 

 

TRADE SIGNALS/SET UP FOR TODAY

BULLISH PAIRS FOR TODAY (Aim to Go long/Buy these pairs today only)

 EURAUD                 CLICK HERE FOR DETAILS

GBPUSD                   Buy @ 1.4493, target is +200 pips

EURCHF                   Buy @ 1.4824, target is +100pips

GBPCHF      BUY @  1.6956, target is +100pips

 

 

 

 

BEARISH PAIRS FOR TODAY (Aim to Go short/Sell these pairs for today only)

 USDCHF                   timeframe is daily/weekly              CLICK HERE FOR DETAILS

 

 

 

READ ABOUT OUR DISCLAIMER HERE

 

*IMPORTANT NOTICE: These comments are for information purposes only. The information contained on this document does not constitute a solicitation to buy or sell by autopilot forex team and we are not to be available to individuals in a jurisdiction where such availability would be contrary to local regulation or law. Opinions, market data, and recommendations are subject to change at any time. Forex trading involves substantial risk of loss and is not suitable for all investors.

 

 

Result of Today's Trading Day

CURRENCIES THAT WERE TRADED

USDJPY ------------- TARGET WAS MET TWICE (+200pips)

NZDCAD ------------- ORDER WAS CLODED       (+25pips)

GBPJPY ------------- TARGET WAS MET       (+400pips)

GBPCAD ------------- LOSS (-130pips)

EURCHF ------------- TARGET WAS MET (+100pips)

EURGBP ------------- TARGET WAS MET (+120pips)

GBPUSD ------------- ORDER WAS CLOSED (-52pips)

CADCHF ------------- ORDER WAS CLOSED (-15pips)

EURAUD ------------- ORDER WAS CLOSED (-45pips)

USDCAD ------------- ORDER WAS CLOSED (-23pips)

EURUSD ------------- TARGET WAS MET (+100pips)

USDCHF ------------- ORDER WAS CLOSED (-25pips)

GBPCHF ------------- ORDER WAS CLOSED (-23pips)

USDJPY ------------- ORDER WAS CLOSED (+24pips)

CADJPY --------------  TARGET WAS MET (+100pips)

USDCAD -------------- ORDER WAS CLOSED    (+3pips)

EURAUD -------------- TARGET WAS MET        (+100pips)

Summary is +1168 pips gained today and -290 pips loss

FOREX DAILY SIGNAL FOR MONDAY, FEBRUARY 23TH, 2009

     

A Bullish Divergence is noticed on NZDCAD. This pair should be bought for the whole of this week.
Buy at 0.6311
Target is +250 pips at 0.6561 or close at the end of this week’s closing day

Stoploss is always -150 pips

 

 

DAILY TRADE SIGNALS/SET UP 

 BULLISH PAIRS FOR TODAY (Aim to Go long/Buy these pairs)

 

1.     EURAUD             timeframe is weekly            CLICK HERE FOR DETAIL

2.     GBPJPY              timeframe is weekly             Buy @ 134.55, target is +400 pips

3.     NZDCAD             timeframe is weekly             Buy @ 0.6377, target 0.6561

  

BEARISH PAIRS FOR TODAY (Aim to Go short/Sell these pairs for today only)

 1.     USDCHF             timeframe is weekly                CLICK HERE FOR DETAILS

 

READ ABOUT OUR DISCLAIMER HERE

*IMPORTANT NOTICE: These comments are for information purposes only. The information contained on this document does not constitute a solicitation to buy or sell by autopilot forex team and we are not to be available to individuals in a jurisdiction where such availability would be contrary to local regulation or law. Opinions, market data, and recommendations are subject to change at any time. Forex trading involves substantial risk of loss and is not suitable for all investors.

 

 

 

 

 

 

 

 

Trading foreign currencies is a challenging and potentially profitable opportunity for educated and experienced investors. However, before deciding to participate in the Forex market, you should carefully consider your investment objectives, level of experience and risk appetite. Most importantly, do not invest money you cannot afford to lose. There is considerable exposure to risk in any foreign exchange transaction. Any transaction involving currencies involves risks including, but not limited to, the potential for changing political and/or economic conditions/news that may substantially affect the price or liquidity of a currency.

 

Autopilot forex team will not be held responsible for the reliability or accuracy of the information available on this site. The content provided is put forward in good faith and is believed to be accurate; however, there are no explicit or implicit warranties of accuracy or timeliness made by the Autopilot forex team.

 

By using Our Forex website, the reader (that’s you!) agrees not to hold us liable for decisions that are based on information contained in posts in our website. Autopilot forex team highly recommends that before making a decision, the reader collects several opinions related to the decision and verifies facts from at least three independent sources. Trading is a risky business and you should therefore never make a decision based solely on the information found on this website.

 

 

 

ORDER FOR OUR TRADING SOFTWARE THAT GENERATES SIGNALS DAILY FOR US

 

It's time to let you know that all our signals are generated and confirmed by the Autopilot Forex 

Trading System. You can see the signal above and the service here is only for registered uses of our trading software. To learn how to get and download the above signal, please navigate to the link http://philopaul4u.com/forexsignalgenerator.htm 

The software generates signals from all currency pairs but works best on the 4hour, daily, weekly and monthly chart. Get yours today and begin to generate more and more signals daily by yourself and for live. And the best of all, there's no hidden charges and no after payment charges and no update charges as the use of the software is for live. 

Happy Trading

From the Autopilot Forex Trading Team

FOREX FORECAST FOR THE EURUSD (NEXT WEEK)

EUR/USD forecast

The EUR/USD bounced up slightly off of its support level at 1.2500 today, but don't get fooled by this head fake from the world's most widely traded currency pair. It isn't going to last. The EUR/USD is probably heading back down.    Thus, after having broken down below a key uptrend support line early in the week, EUR/USD price action has performed a classic pullback to the line. Like most pullbacks of this nature, price has stopped and turned back down right at the point of breakout, treating the broken support line as new resistance. This uptrend line should now continue to act as resistance, at least for the near-term. The potential trading trigger to watch for is any strong breakdown below the 1.2500 region, which represents the approximate level of the last low before pullback. A break below this level should confirm a downtrend continuation after the pullback retracement, potentially targeting further support in the 1.2330 price region, the level of the long-term low hit in late October.                                                                                                                                                                                                                                                     *IMPORTANT NOTICE: These comments are for information purposes only. The information contained on this document does not constitute a solicitation to buy or sell by FX Solutions, LLC., and/or its affiliates, and is not to be available to individuals in a jurisdiction where such availability would be contrary to local regulation or law. Opinions, market data, and recommendations are subject to change at any time. Forex trading involves substantial risk of loss and is not suitable for all investors.

FOREX AUTOPILOT TEAM

Happy Weekend to Our Numerous readers as we await the beginning of another forex week by sunday. Remember that Sunday signal will come exactly at 11pm (Nigerian time) or 22GMT

FOREX RESULT FOR THE DAY ENDED, 20TH FEBRUARY, 2009

ALL TRADES WERE ENTERED WITH OUR TRADING SOFTWARE

EURUSD-------------TARGET WAS MET       (+100pips)

USDCHF-------------LOSS                            (-130pips)

GBPUSD-------------TARGET WAS MET       (+100pips)

AUDUSD--------------Order was closed      (+34pips)

EURGBP--------------Order was closed      (+12pips)

GBPAUD--------------LOSS                            (-130pips)

EURCHF--------------TARGET WAS MET       (+100pips)

NZDCHF-------------order was closed        (+45pips)

USDCAD-------------TARGET WAS MET        (+100pips)

                                                                                                                                                                  Total   (+491pips gained and -260pips loss)

TRADING RESULT FOR THE DAY ENDED, 19TH FEBRUARY 2009

ALL TRADES WERE ENTERED WITH OUR TRADING SOFTWARE

EURUSD-------------TARGET WAS MET (+100pips)

USDCHF-------------Order was closed       (+13pips)

NZDUSD-------------Order was closed       (-22pips)

GBPJPY--------------Order was closed      (-34pips)

CHFJPY--------------Order was closed      (+62pips)

CADJPY--------------TARGET WAS MET (+100pips)

CADCHF-------------TARGET WAS MET  (+100pips)

Total   (+377pips gained and -56pips loss)

FOREX DAILY TRADING SIGNAL ON EURUSD (FRIDAY----20TH FEBRUARY 2009

Our trading software has signalled that the EURUSD pair is going to be bullish today. This pair should be bought throughout today

Open time  00GMT at 1.2677

Target is +100 pips at 1.2777 or close at the end of today's closing day

Stoploss is always -130 pips 

PLEASE, READ OUR DISCLAIMER FIRST BEFORE OPENING THE NEXT TRADE

Trading foreign currencies is a challenging and potentially profitable opportunity for educated and experienced investors. However, before deciding to participate in the Forex market, you should carefully consider your investment objectives, level of experience and risk appetite. Most importantly, do not invest money you cannot afford to lose. There is considerable exposure to risk in any foreign exchange transaction. Any transaction involving currencies involves risks including, but not limited to, the potential for changing political and/or economic conditions/news that may substantially affect the price or liquidity of a currency.

Autopilot forex team will not be held responsible for the reliability or accuracy of the information available on this site. The content provided is put forward in good faith and is believed to be accurate, however, there are no explicit or implicit warranties of accuracy or timeliness made by the Autopilot forex team.

By using Our Forex website, the reader (that’s you!) agrees not to hold us liable for decisions that are based on information contained in posts in our website. The reader agrees not to hold. Autopilot forex team highly recommends that before making a decision, the reader collects several opinions related to the decision and verifies facts from at least three independent sources. Trading is a risky business and you should therefore never make a decision based solely on the information found on this website.

FOREX DAILY SIGNAL ON AUDUSD, 20TH FEBRUARY, 2009----FRIDAY

A Bullish Divergence is noticed on AUDUSD. This pair should be bought for the whole of today.
Open time 00GMT at 0.6438
Target is +100 pips at 1.6538 or close at the end of today's closing day

Stoploss is always -130 pips 


PLEASE, READ OUR DISCLAIMER FIRST BEFORE OPENING THE NEXT TRADE
Trading foreign currencies is a challenging and potentially profitable opportunity for educated and experienced investors. However, before deciding to participate in the Forex market, you should carefully consider your investment objectives, level of experience and risk appetite. Most importantly, do not invest money you cannot afford to lose. There is considerable exposure to risk in any foreign exchange transaction. Any transaction involving currencies involves risks including, but not limited to, the potential for changing political and/or economic conditions/news that may substantially affect the price or liquidity of a currency.Autopilot forex team will not be held responsible for the reliability or accuracy of the information available on this site. The content provided is put forward in good faith and is believed to be accurate, however, there are no explicit or implicit warranties of accuracy or timeliness made by the Autopilot forex team.By using Our Forex website, the reader (that’s you!) agrees not to hold us liable for decisions that are based on information contained in posts in our website. The reader agrees not to hold. Autopilot forex team highly recommends that before making a decision, the reader collects several opinions related to the decision and verifies facts from at least three independent sources. Trading is a risky business and you should therefore never make a decision based solely on the information found on this website.

BECOMING A PROFITABLE TRADER

Before you click that button to enter a trade, have you made sure that you are not just entering on emotions? When traders are running a business trading stocks, futures, options, or currencies they should know specific information before entering a trade. Trading is a business that an individual must plan and prepare for. Trading is not gambling unless you are just entering blindly without a plan. Every time you enter a trade you should already what your target price is, what the risk level is, and what strategy you are using. These three keys that I am going to be explaining in detail in this article will ultimately be the difference in being successful or being a complete failure.

Before you put an order in to buy or sell you should know what your target price level is. The reason this is important is because you need to know where you are going if you want to be able to get there. What I mean is that if you have a target you are more likely to stay in a trade until you reach that target. Most traders get in then the price moves in their favor and they close the trade for small gains. To be profitable long term in the Forex market you should have your winning trades as large as possible and having targets keeps you in your trades.

The next key to being a profitable trader is to use risk management. What I mean by that is that before you ever make a trade you should know how much risk is involved with that trade. For example lets say your account size is $1,000 than you should know how much of that total amount you are willing to risk on that trade. The way to achieve success is to limit risk to 2 to 5 percent of your total account balance. So in this case $1,000 you should risk no more than 20 to 50 dollars per trade. That will help your profitability and stop you from blowing your account. One other key point about figuring risk is to make sure that you have at least a one to one risk reward ratio. What that means is that if your target has to be equal or greater than you risk.

Lastly, when entering trades it is important to know what strategy that is being used for each particular trade. If you have a strategy that is proven and that you can use over and over again that will help you achieve successful trading results. The best way to develop a strategy is to read and learn about different strategies and then test the results for yourself. Make sure when you are testing the strategies that you are following all the rules to each strategy.

In conclusion, these 3 keys will send you into profitability and then you can use trading as a way to earn a living. Once you have mastered these techniques you can begin to refine your trading skills and go from just earning a living to building wealth. You just have to be systematic in your approach and follow your plan.

http://www.winnersedgetrading.com

FOREX DAILY SIGNAL ON EURUSD, THURSDAY, 19TH FEBRUARY 2009

A Bullish Divergence is noticed on EURUSD. This pair should be bought for the whole of today. 

Open time  00GMT at 1.2527

Target is +100 pips at 1.2627 or close at the end of today's closing day

TARGET HAS BEEN MET AND TRADE HAS BEEN CLOSED

 

FOREX DAILY SIGNAL ON EURAUD ON THURSDAY, 19TH FEBRUARY 2009

EURAUD pair is going to be bearish today. These pair should be should throughout today

Open time  00GMT at 1.9653

Target is +100 pips at 1.9553 or close at the end of today's closing day

TRADING WITH THE STOCHASTICS (10,3,3)

THE STOCHASTICS(10,3,3) 

   

The stochastic is one of the oscillators that must be already installed in your trading platform. Stochastic is another indicator that helps us determine where a trend might be ending.  By definition, a stochastic is an oscillator that measures overbought and oversold conditions in the market.  

How to Apply Stochastic

Like I said earlier, stochastic tells us when the market is overbought or oversold.  Stochastics are scaled/ measured from 0 to 100.  When the stochastic lines are above 80, then it means the market is overbought.  When the stochastic lines are below 20, then it means that the market is oversold.  An over bought market simply means that a pullback will occur when the market is over sold, and a rally is due. As a rule of thumb, we buy when the market is oversold, and we sell when the market is overbought. 

This is the basics of stochastic.  Many traders use stochastic in different ways, but the main purpose of the indicator is to show us where the market is overbought and oversold.  Over time, you will learn to use stochastic to fit your own personal trading style.  

Stochastic Oscillator

The Stochastic Oscillator was developed by Dr. George Lane to track market momentum.

The indicator consists of two lines:

• %K compares the latest closing price to the recent trading range.
• %D is a signal line calculated by smoothing %K.

The number of periods used in the indicator can be varied according to the purpose for which the Stochastic is used:

Purpose:	%K Periods	%D Periods	Overbought level	Oversold level	Comments:
Combine with trend indicator	5 to 10 days	3 days	80%	20%	Very sensitive
Stand-alone or trade longer cycles	14 or 21 days	3 days	70%	30%	Only shows important turning points

Trading Signals

If the Stochastic hovers near 100 it signals accumulation. Stochastic lurking near zero indicates distribution.

The shape of a Stochastic bottom gives some indication of the ensuing rally. A narrow bottom that is not very deep indicates that bears are weak and that the following rally should be strong. A broad, deep bottom signals that bears are strong and that the rally should be weak.

The same applies to Stochastic tops. Narrow tops indicate that the bulls are weak and that the correction is likely to be severe. High, wide tops indicate that bulls are strong and the correction is likely to be weak.

Ranging Markets

Signals are listed in order of their importance:

1. Go long on bullish divergence (on %D) where the first trough is below the Oversold level.
2. Go long when %K or %D falls below the Oversold level and rises back above it.
3. Go long when %K crosses to above %D.

Short signals:

1. Go short on bearish divergence (on %D) where the first peak is above the Overbought level.
2. Go short when %K or %D rises above the Overbought level then falls back below it.
3. Go short when %K crosses to below %D.

Place stop-losses below the most recent minor Low when going long (or above the most recent minor High when going short).

%K and %D lines pointed in the same direction are used to confirm the direction of the short-term trend.

Trending Markets

Only take signals in the direction of the trend and never go long when Stochastic is overbought, nor short when oversold.

Use trailing buy- and sell-stops to enter trades and protect yourself with stop-losses.

Long:

If %K or %D falls below the Oversold line, place a trailing buy-stop. When you are stopped in, place a stop loss below the Low of the recent down-trend (the lowest Low since the signal day).

Short:

If Stochastic rises above the Overbought line, place a trailing sell-stop. When you are stopped in, place a stop loss above the High of the recent up-trend (the highest High since the signal day).

 TRADE CONFIRMATION WITH THE STOCHASTIC

Since we give our signal from the daily chart, we/you are to confirm the signal and open a tradable position in the direction of each of the signal from the 30 minute chart. Our pattern is to therefore use the 30 minute to confirm our signal that was shown on the daily chart.

 

And to confirm the signal, we will be making use of the stochastic indicator. Luckily for all our readers, the stochastic is already fixed in your trading platform. All you need to do is to activate this indicator on your platform.

 

And bear in mind that instead of the 5, 3, 3 default settings of the stochastic, we use the 10, 3, 3 settings for our trading.

 

 

So, to confirm our signal from the 30 minute timeframe, simply look for oversold and overbought levels on the 30 minute chart and open your market order once the stochastics’s % K line crosses above the % D line from the oversold level for bullish signal confirmation or if the % D line crosses below the % K line from the overbought level for bearish signal confirmation. Bear in mind that our signal is only confirmed in overbought and oversold markets.

 

Thus, you’ve seen how we confirm the signals that we post on this site. We are able to do this so that you can learn by yourself how to confirm the signals that we post on this site so as to win much of your trades.

 

Bear in mind that the 30 minutes chart is used to confirm the signals that we received from the daily chart while the 4 hours chart is used to confirm our signals that was given from the weekly chart. The same process that we used in confirming our trade from the 30 minute chart is also applicable when confirming a trade from the 4 hour chart.

 

 

 

HAPPY TRADING

 

FROM THE AUTOPILOT FOREX TEAM