Hi All,
im quite new to trading, been using this simple method. In short I'd call it scalping/day trading/inflection points:
- i buy sell in overbought/sold positions, make sure RSI, MACD all way down/up
- confirm it with where support/resistance is, checking 10min, 30min, 1hr charts, sometimes daily. If all overbought/oversold on RSI the better
- mainly FX (EUR, GBP) and Dow, FTSE trade
- mainly market opens and closes times
- look at 50, 100, 200 day moving avg-es
- sometimes add a fib to it, like on the pic here, and see if it aligns with price movement (self fulfilling prophecy)
All in all just set up these things, and wait for extremely overbought/oversold positions and buy/sell the comebacks for a quick profit.
Heres a pic, GBP today, 3/20 11:14. id call it a buy 1.6489
Now, the issue is, it actually works most of the times, but i get out w tiny profits.
When it doesnt work, as instruments move more down/more up, then i exit, just to see them come back hours later.
Its the patience and following through that I find hard, and that this strategy is like waiting for the rabbit to jump out the hole and then shoot.
Its not trend following, its trying to time things, which is quite hard.
Any advice / additions? How could I make it trend following, tweak it to make it better?
im quite new to trading, been using this simple method. In short I'd call it scalping/day trading/inflection points:
- i buy sell in overbought/sold positions, make sure RSI, MACD all way down/up
- confirm it with where support/resistance is, checking 10min, 30min, 1hr charts, sometimes daily. If all overbought/oversold on RSI the better
- mainly FX (EUR, GBP) and Dow, FTSE trade
- mainly market opens and closes times
- look at 50, 100, 200 day moving avg-es
- sometimes add a fib to it, like on the pic here, and see if it aligns with price movement (self fulfilling prophecy)
All in all just set up these things, and wait for extremely overbought/oversold positions and buy/sell the comebacks for a quick profit.
Heres a pic, GBP today, 3/20 11:14. id call it a buy 1.6489
Now, the issue is, it actually works most of the times, but i get out w tiny profits.
When it doesnt work, as instruments move more down/more up, then i exit, just to see them come back hours later.
Its the patience and following through that I find hard, and that this strategy is like waiting for the rabbit to jump out the hole and then shoot.
Its not trend following, its trying to time things, which is quite hard.
Any advice / additions? How could I make it trend following, tweak it to make it better?
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