I get asked often how do I know which pairs to trade for the week. Simple process really. First I go through maybe 20-25 pairs, yes I go through that many. Why so many. I found when I first started trading I would trade only the 6 majors but in doing so if there were no trade set ups or none of those pairs were moving the way that was conducive to good trades I would still take trades for the simple fact of wanting to trade. I came to the conclusion why stick to watching only 6 pairs when I did have the option of looking at many other pairs my broker offered. Like watching tv … if I don’t like what is on the present channel change channels. Same principle. Now not all will agree with this process and that’s fine. This is not the only way to do it just my way of doing it. The whole process from start to finish maybe takes me 20 minutes on the weekend then I am all set to go for the week. So I will start with weekly or monthly and draw in my levels or zones where a trade may set up then I go down to the daily and do the same thing. Now because I trade off the daily time frame I always have “trades” waiting in queue to “trigger”. Over the course of the week I am looking for between 2-5 trades to get into. Looking at 20 pairs x 3 types of candle patterns gives a potential of 60 trades. Now you won’t ever get that many but to find 2-5 quality set ups is very doable. No over trading, I learned a long time ago that a quality trade is better than quantity of trades.
Day Trading, Futures Trading, Currency Trading, Investing, Chart Reading, Technical Analysis
AlphaTrader 