Looking For Pivots Trades - 11-Jun-16

Looking For Pivots Trades – 11-Jun-16

I picked this trade out in the Live Weekly Workshop yesterday.

It’s much easier to explain this in the live markets but I will just try here to show why I picked this trade.

First off I like to see an Entry with a Stop the other side of a Big Round Number. Just by way of example I have identified NZDJPY and NZDCAD on the scanner below.

Looking For Pivots Trades - 11-Jun-16 Scanner

I like to see the Big Round Number as they always do seem to be quite reliable as, at least, short term Support / Resistance. This adds extra probability to my Pivot trade being successful, in my opinion.

So, let’s have a look at NZDJPY (I have zoomed right out on all these charts to allow me to illustrate my main point).

Looking For Pivots Trades - 11-Jun-16 NZDJPY

As you can see we have the S2 level at 74.33 and then the Big Round number at 74.00 providing a nice resistance zone above our Stop level. However, there is nothing else here to add additional weight to this opportunity.

And, here’s the NZDCAD opportunity.

Looking For Pivots Trades - 11-Jun-16 NZDCAD

Again, as you can see we have the R2 level this time at 0.9213 and then the Big Round number at 0.9300 (off screen) providing a nice resistance zone below our Stop level. However, again, there is nothing else here to add additional weight to this opportunity.

Now, let’s look at the AUDJPY trade I also highlighted on the scanner.

Looking For Pivots Trades - 11-Jun-16 AUDJPY

Here we see the S2 level at 78.31 and then the Big Round number at 78.00 providing a nice resistance zone above our Stop level. We also have the monthly low (and in fact the low for the last few months) right on that 78.00 level.

There’s the additional weight I am looking for.

I usually put Market orders in when I see opportunities like this. If I will be at the screen I will sometimes remove the Market orders and monitor for additional (real time) weight, for example…

  • An Oversold condition on an oscilator when the S2 level is hit or
  • A Price Action Reversal Candle identified by the PAST indicator

Sure, the Pivots strategy on it’s own “as is” is a profitable strategy. But, looking for this additional “weight” in individual opportunities, rather than trading the strategy “as is” makes it even more profitable.

Note: This opportunity did not trigger but it was, a great setup – Nobody can have any reason at all for questioning their placing Market orders for this opportunity.

It is when you start to learn to trade like this that you will realise how far you have progressed. And, you will have no need for trading journals or micro analysing individual trades.

Your long term monthly returns should be evidence enough.

I hope this came across OK “on paper” and if you would prefer, do sign up for our Pro Membership where Nigel and I usually cover all our strategies and set ups in the live markets once a week.

Hope it helps.

The Pivot Points Strategy MT4 Indicator & Scanner and much more (including live weekly workshops where we identify trades like this) are included in our Comprehensive Pro Membership package

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DISCLAIMER & COPYRIGHT

This update is based on my analysis on my charting package. It may differ to yours as it can be affected by time, market movements, charting packages and broker prices. I accept no liability for loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance on any information in this report or analysis.