Personal Strategy

So along with the news and charting resources above. At this point I would like to share a baby of mine that is still “work in progress”. Today I’d like to let you in on a little project I’ve been working on that is very much still evolving. Throughout my career I’ve put a lot of time into “toaster/microwave” forms of trading aids in an effort to improve results and attain consistent positives.

What I will present here is an approach that I created which can be seen as a ‘Toaster’ type fix.

My main focus was on designing a rudimentary phase by phase plan that allowed me to set up a trade at any time based on an hourly High/Low binary option. Have a look at what I came up with and see what you think. It’s worked very well for me, and I think most people would benefit from it, if not all.

First of all, choose an asset which pays 80% – 85%. Then Go back on the charting to four hours previous, but not including the current hour. Then note the highest price each hour. Below this series of four numbers, carry out the same record with the lowest price each hour. You should end up with something similar to the following:

EUR/USD Example

1.35000 | 1.35125 | 1.35450 | 1.35725

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1.34870 | 1.34900 | 1.35150 | 1.35250

This table shows the viewer the overall trend. It will either be ascending or descending, or constant. The average prices, both high and low, can be determined by using the following formula: Total prices added together % amount of hours. With this information we can now predict the following hour using the last hour’s high and low, any forthcoming economic events, and the average high and low price.

In the event that the asset has been on the rise, I will place “CALL” trades alone, making my choices relevant to the overall direction of that movement based on the last few hours’ movement, with no indicators or further charting. At this point I target an entry price for my “CALL” based entirely on the previous hour’s price. The thinking behind this is that by getting as close to the previous hours low price as is able, and considering that the asset has been moving up in price and that the next low price should be greater than the last hours low price, therefore there is less risk involved, and in the event that it remains on an upward course, the trade is priced as well as it possibly can be.

In the case of an asset that is trending on the descent, I carry out the same procedure, but this time in the opposite order. I.e., carrying out “PUT” trades alone and focusing on the most recent hour’s high price.

Shifting the focus to assets on a sideways trajectory, in this instance there is but one way to deal with these assets effectively. The best course of action is to hold off until just before the point of cut off for a trade and then make a move with the highest or lowest price that is visible. As an example, in the event that the EUR/USD has been holding at 1.31200 for the last few hours, I will then try to “CALL” at 1.31150 and lower, or try to “PUT” at 1.31250 and greater.

Limiting the amount of trades is beneficial in several ways, not least offering a more feasible and easier to manage workload. The best results are often seen when as little as 3 trades are conducted in a period of one to two hours trading. Results are also clearer to see, and the possible negative effects of outcomes are mitigated.