Buying Opportunity

Buy Set Up On the GBP/USD 30-minute Chart


If you read the last post, I showed you a new very profitable set up to make huge gains in the forex market.

The gist of the technique is to plot the MA 144 on your 30-minute chart and when price is 110 pips or more away from it, you buy or sell.

I will add that the trade's chance of success is greatly enhanced if the market stayed down or up towards the close of the trading day.

What happens is that the next day, price will start to go the other way. Here is a new trade that I found today:






















The chart as you can see is well illustrated. The stochastic, the RSI and the MACd are all in the buy set up as discussed in the ebook.
Price is more than 200 pips away from the 144 which is the pink line.
It is now time to buy.

Today is 12/5/07. I will post an update later this week. This trade should make up to 120 pips and above.


Dateline 12/10/07

Hello traders, today I am posting the aftermath of the trade above so that you can see the continuity on one page.

We entered this trade because it filled all our entry criteria - we had the valley in the MACD, stochastic and RSI were in the buy zone and price was more than 110 pips away from the MA 144.

























As you can see from the chart, we experienced some adversity. This is where being confident about your system comes in. If you had panicked, you would have taken a loss here. What I did was add to my position at what I considered a better price at b, but my view of the market was still the same- we were due for a good up move.

If you made the trade at b, you would have erased the deficit at c, and then on to more than 250 pips in profit from b, and also tack on the original position's profit too!

I stayed in because the I believed that for the market to go really lower, we had to go up first.

Also, the initial trade from a, was slow to make money because we put it on just before the dreaded non-farm payroll report. Usually the day before it comes out the market does not really do much.

In spite of this we still came up winners.


If you want to learn about the indicator settings taught in this post, go to http://learnforexoption.com