GBP PAIRS BIAS AND PROJECTION FOR THIS WEEK
Moving average 50, I look for momentum from the higher time frames daily and 4 hrs because I'm an intra-day trader. The main thing I look out for is:
1. Is price above/below on the 50 MA on the 4 hr TF
2. Is price about to change direction from the current swing on the 4hr chart (I use a trend line for the swing on the 4 hr chart then go to the 1 hr chart for a break of market structure)
3. Did price break structure on the 1hr chart and is it above the 5 moving average
4. Enter on the retest, using the 1 hr or 15 mins TF
5. Take profit the previous swing on the 4hr chart, stop loss below previous structure (previous high or low depending on the trend). When placing stop loss for this strategy, if I'm using the 15mins or 1 hr for entry the previous structure must be below/above the 50 moving average, that's identified as the area as value. Therefore if you lose the trade then you know that your analysis was wrong at that time. CHEERS!
1. Is price above/below on the 50 MA on the 4 hr TF
2. Is price about to change direction from the current swing on the 4hr chart (I use a trend line for the swing on the 4 hr chart then go to the 1 hr chart for a break of market structure)
3. Did price break structure on the 1hr chart and is it above the 5 moving average
4. Enter on the retest, using the 1 hr or 15 mins TF
5. Take profit the previous swing on the 4hr chart, stop loss below previous structure (previous high or low depending on the trend). When placing stop loss for this strategy, if I'm using the 15mins or 1 hr for entry the previous structure must be below/above the 50 moving average, that's identified as the area as value. Therefore if you lose the trade then you know that your analysis was wrong at that time. CHEERS!