How to determine when a retracement ends? Isn't it a catch-22 situation as the end of retracement can be seen only in the past after the pattern has been formed?
Best Forex Strategy
- Thread starter JimmyChoo
- Start date
The trend plus one or more cycles can help estimate when a retracement is over.
I do it by looking at the chart visually.
If I just focus on the chart only, the success will be around 1% or worse.
To improve the success rate, I look into
the macro fundamental picture,
Intermarket correlation too.
many traders in the trading houses have multiple monitors
for Intermarket correlation studies.
I came up with my own strategy for trading Forex, which I call "Numerical Price Prediction" (or NPP).
It depends as much as possible on statistical analysis and mathematical probability, and is patterned after the methodology (and computer models) used by meteorologist to predict the weather.
The strategy stems from the application of five biblical principles, chief among them being: (1) test everything and only keep what proves to be valid and reliable; (2) learn to rightly interpret clues offered by what you see; (3) good plans usually result from consulting with several counselors; and (4) systems operate at peak performance when all their component parts are in sync.
The first principle led me to reject all standard indicators except for moving averages and moving average envelopes (i.e., no stochastic oscillators, RSI, CCI, MACD, etc.). It also led me to dismiss nearly every other system out there, such as Elliot waves, Fibonacci ratios, harmonic patterns, pivot points and the like.
So then, the foundation of NPP is the use of baselines—key moving averages designed to inform traders as to whether a given asset's sentiment is bullish, bearish, or neutral. However, the big difference is that the moving averages I use are calculated with respect to physical time rather than defined by periods...
In a sense, the system also incorporates the idea of cycle theory, which holds that cyclical forces, both long and short, drive price movements, and can be used to anticipate turning points. It is also compatible with Edgar Peters' fractal market hypothesis, which views financial markets as fractal in the sense that they follow cyclical and replicable patterns—ones consisting of fragmented shapes that break down into parts which then replicate the shape of the whole...
So then, when all is said and done, my strategy (it seems to me) is akin to what was put forth by Jim Hurst in the 1970s. (But, his ideas did not come to my attention until after my own system had already been established.)
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hmm if you are a beginner then I would suggest range trading strategy as it only requires identifying a range with opportunities to buys and sell over a short period of time. It is one of the easiest to execute because a trader just buys when a market reaches an oversold/support level and sells during an overbought/resistance level.
the Best Forex trading strategy not shared in online 
yes , this is a exact reply which is practical and so true
Strategies keep changing in forex trading, so traders should focus on having their concepts about the field right so as to make necessary adjustments to their strategies as per the market trends.