This strategy is based solely on price action without the use of indicators or fundamental analysis. It is rapid and suitable for EUR/USD currency pair with fixed spread not exceeding two pips.
You are advised to trade between the active hours which is between 6:00am -7:00pm GMT +01:00.
With this strategy coupled with the Required-Volume Formula you should double your deposit in one day and make a lot more within a week. Five times of your profit can be made using this strategy.
1. 5min timeframe
2. Candle Stick Chart type
3. EUR/USD chart
4. five digit decimal pricing
5. Trading account with commission not exceeding 1pip on EUR/USD Pair.
Blackbull Markets is a reliable broker with all of the above mentioned features. You are advised to sign up with them and create and activate a live standard ECN account by depositing 200 dollars, however the more you deposit, the more profit you can make with this strategy.
You can click here to check out their compelling features.
Due to the five digit decimal pricing, you are required to take a maximum of 0.4 pip. That is small but if you were to multiply 0.4 for every five minutes for ten straight hours, you would be making 48pips daily.
Combining the earned profit and using the formula explained below, you would be making at least five times of your deposit.
You should see this process as a day job requiring 10 hours of your time but with much more significant earnings.
Consider the chart below;
Sell when the price of the EUR/USD pair moves towards the highest high of the previous candle and take 0.4 pip profit. Ensure you exit every trade as soon as each candle stops which is after five minutes.
Buy when the price of the EUR/USD pair moves towards the lowest low of the previous candle and take 0.4 pip profit. Ensure you exit every trade as soon as each candle stops which is after five minutes.
I recommend the lowest low and highest high because of the rebound tendency of the currency pair on reaching the lowest low or highest high of the previous candle. The lowest low and highest high act as a minor resistance point that pushes the pair back upwards or downwards by 2-3 pips.
CALCULATION OF REQUIRED VOLUME
10% of capital * leverage = volume.
Mathematically, we have;10/100 * 10000(capital) * 1000 (leverage) = 1,000,000 (10lots).
This means 10 lots must be traded on day one if your account leverage is set to 1:1000 and your capital (deposit) is 10,000.
On the second day, the profit made summed up with the capital (10,000USD or whatever your capital is) should be used to substitute the capital in the equation.
For instance, if you have 10,000 USD as your initial capital on day one and you made EXTRA 4,800USD profit, you should add 10,000USD to 4,800USD to get your new capital (14,800 USD).
As your capital grows your profit grows too.
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