Forex Strategy «Morning Range» is based on the breakdown of the range that is typically formed in the inactive hours trading on forex market — from 00:00 to 6:00 GMT, during this period, subject to the formation of the channel.
- To trade valid currency pair — EURGBP.
- Timeframe — M5-H1.
Trading:
At 6:01 GMT on the need to place a pending order for the breakdown of the range BUY STOP at the upper boundary of the formed channel + size spread, and the pending order SELL STOP at the bottom of the channel formed granize + size spread in the chosen currency pair. For installation and maintenance, you can use trailing stop.
Pending orders must be put in equal amounts. At the opening of one of the pending orders, the lot size on the opposite side is increased by 2 times. Then build Fibonacci levels, the level of 161.8% would be the desired level of take-profit.
A safety stop-loss order placed on the other side of the formed channel.
In the event that the 2 nd increased 2-fold order of stop-loss — open transactions on that day no longer need.
If the pending orders are not opened until 13:00 pm GMT — should remove these warrants.
If the price is not suited to the boundaries of the channel and not pierced At least one of them — that need to be confirmed pending orders later. (This is in case you have not been able to remain in the trading terminal at 6 am on GMT)
And if you failed to enter the market for a pending order, we conclude a bargain at the market price in the direction of penetration of the range!
Example:
