10 Pips A Day Forex Strategy

Introduction

There is a lot of buzz in the Forex industry about the ten-pip a day strategy. Nosotros have seen both experienced and novice traders getting excited well-nigh this strategy. So nosotros decided to talk in detail about this topic in today's commodity. Some expert traders believe that it'southward not possible to brand ten-pip consistently in the market, while many others say it is possible.

In reality, it entirely depends on the person's trading skills, mindset, and experience. Traders need to adapt themselves to the market situations to exist successful. Making 10-pip a day is a great way to accumulate wealth in the Forex market, and it is easily possible. All we need is to primary our skills to the point where we exactly know when to have a trade and when non to.

Statistics say that it's non easy to make consequent money in the Forex marketplace, and the losses are a part of the game. This is truthful to an extent, but if we practice this strategy enough on a simulator, we can hands make x pips a day no matter what. In this commodity, permit'south understand how to make ten pips per 24-hour interval in the Forex market by using 5 dissimilar buy and sell examples of five trading days in a week.

Trading Strategy For Making ten Pips A Day

'ten Pips A Day' – The thought behind this term is to stop trading for the mean solar day right after making ten pips that twenty-four hours. Too, it is up to you to follow this idea or non. Yous can terminate trading after making ten pips, or you lot can ignore that and become for 20, xxx, or even 100 pips a twenty-four hour period according to the market state of affairs.

Just merely go ahead if you lot are 100% confident nearly the markets. In case of any tiny fleck of doubt, make sure to exit right subsequently you make ten pips. One disquisitional aspect of this strategy is selecting the currency pairs. I must exist professional enough to sympathize the market situations and pick the pairs where at that place is a minimum potential of making x pip profits.

Pairing The Bollinger Bands With The Stochastic Indicator

          Rules For Going Long

The market must be in a potent uptrend.
Wait for the price activeness to slowdown at the lower Bollinger Band.
Let the Stochastic Indicator reverse at the oversold area.
Only go long if the above two rules are satisfied. Also, consider the momentum of the cost.
Identify the end-loss just below the lower Bollinger Bands.

Now, to understand how this works, we take taken five different trades for five trading days in the last calendar week of February 2020 and accept generated x, 20, and xxx pips in the market place successfully. According to this strategy, conservative traders must stop trading afterward making ten pips for that trading twenty-four hours. But, if you are an aggressive trader, go ahead for bigger targets. Let'due south get into the examples.

Mon Trade

The beneath chart represents a buy trade in EUR/CAD Forex pair. When all the rules mentioned above are met, we took a long position in the New York Session on 24th February 2020. Our stop-loss is placed right below the lower Bollinger Band.

Nosotros accept gone for three different targets according to the market situations and predominant South&R levels. As mentioned, leave the merchandise equally soon as you make ten pips if you lot are a bourgeois trader.

Tuesday Trade

For the second solar day, we take picked the EUR/AUD Forex pair as nosotros identified some potential market moves. We have gone long on this pair in the New York session on 25^Th Feb 2020. We can clearly see both the indicators indicating a clear buy indicate.

Here, we have gone for the third target and exited the trade every bit soon as we made 30 pips.

Wednesday Trade

Our third merchandise was in the EUR/CAD Forex currency pair in the Asian session on 26th February 2020. When prices hit the lower Bollinger bands, and the Stochastic indicated the oversold market atmospheric condition, we went long on this currency pair.

We would have exited the trade at ten pips, but the market started press continuous bullish candles, which made us await for the prices to striking the tertiary target.

Thursday Trade

On the 4^thursday 24-hour interval (27th February 2020), we took a long position in the AUD/NZD Forex pair. The entry was at the point where the prices touched the lower Bollinger Band, and the stop-loss is placed merely beneath the recent low.

Since the higher highs were getting continuously printed, nosotros went for the third target and exited the trade as soon as we made 30 pips.

Friday Trade

For the Friday trade, we chose the AUD/NZD Forex pair. We went long in the Asian session on 28th February 2020. When both the indicators lined upwardly in one direction, information technology is a clear indication that the sellers have given upwards, and at present it's fourth dimension for buyers to atomic number 82 the market.

We had exited at the third target even when the market was moving up north.

                    Rules For Going Short

The market must be in a potent downtrend.
Wait for the price action to slowdown at the upper Bollinger Band.
Permit the Stochastic Indicator reverse at the overbought expanse.
Only go short if the above two rules are satisfied. Also, consider the momentum of the toll.
Place the stop-loss just to a higher place the upper Bollinger Band.

Monday Trade

The below chart represents the start sell trade we took in the NZD/JPY Forex pair on the 24th Feb 2020. We went short when the price action hit the upper Bollinger band, and the Stochastic indicated the overbought weather condition.

The stop-loss is placed just above the upper Bollinger Band. Nosotros have gone for the third target, and the market place printed a make new lower low.

Tuesday Trade

The beneath epitome represents the USD/CHF Forex pair. This pair was in an overall downtrend, and on 25th Feb 2020, we accept activated the sell merchandise right after our sell criteria is met.

We tin see the market reaching all of our targets in simply a couple of hours.

Wednesday Trade

For the third day, we accept chosen the USD/CHF Forex pair to place the sell opportunities on 26th Feb 2020. The entry was at the point where the price activeness touched the upper Bollinger band, and the stop-loss was just to a higher place the upper ring.

The reason we place the stop-loss there is because of the bands of the indicator act as a dynamic support resistance level to the price action.

Th Trade

The 4^th trade belongs to the CAD/JPY Forex pair, and nosotros take activated our sell trades on 27th Feb 2020. We took sell when both of the indicators lined up in 1 management, and we booked profit at the tertiary target.

Friday Merchandise

For the last sell trade, we chose CAD/JPY currency pair. Sell merchandise was activated on Friday, 28th Feb, in the Asian session. When the Stochastic reached the overbought area and gave a sharp reversal, we saw the toll action hitting the upper Bollinger band. This essentially means that the market is ready to go down.

Bottom Line

In almost all of the cases, we have gone for the third target only and make thirty pips profits. The reason behind this is to show you how reliable is the Bollinger Band and Stochastic combination. We are saying this time, and again, delight stop trading later on making ten pips per day if y'all are a conservative novice trader. Only if you are experienced enough to predict the marketplace, milk every bit much equally you can depending on the market conditions. All the best.