Hard for me to defend botpro, but really? It's one thing to believe in TA, it's another to believe that you can't be a consistently profitable trader unless you are familiar with TA!
Trading Strategy based on round numbers
- Thread starter options-george
- Start date
Bump. FYI.
Managed to get some analysis done this week to compile a simple initial version of a round-number strategy. Will live-trade this version with small size for the next six sessions on two indices and six FX pairs.
Managed to get some analysis done this week to compile a simple initial version of a round-number strategy. Will live-trade this version with small size for the next six sessions on two indices and six FX pairs.
Round numbers are valid support resistance but they must be combined with an additional setup or trigger. U should always look for a confluence of reasons or have at least 2 reasons for entering trades.
I think running a statistic test should be enough to see if key numbers can become your primary tool. For example I trade USD/JPY and EUR/USD on key levels and statistic shows the older is key level the more is a chance to see a correction before it breaks it out. Find correlation for example weekly round level - N probability of correction, monthly round level N+m probability of correction and here you go.
I trade with Hotforex using this simple priciniple (monthly key numbers) but get only 2-3 entry chances in a month. It's the only minus of this strategy.
