| One of the Forex Day Trading Strategy that is often | | | | on a $1000 deposit with 1:100 leverage. |
| used by day traders is to buy and sell the same | | | | Never ever trade without a stop loss otherwise you |
| currency pair, same lots same time. In other words, | | | | can lose your deposit in no time. If the EurUSD rate |
| you are taking both long and short positions in the | | | | goes down, stop loss closes your buy order at 5 pips |
| same currency pair at the same time. | | | | loss while the take profit order closes your sell position |
| For example, buy 1 lot of EurUSD at 1.4239 and sell 1 | | | | when you reach 15 pips. Your net gain: 10 pips. This |
| lot of EurUSD for 1.4234. Note the difference between | | | | forex day trading strategy works very well in a yo-yo |
| the buy and sell rate. This is the spread. Why pay the | | | | market. How to get a yo-yo market? Time your |
| spread? The reason for buying and selling the same | | | | orders with a fundamental announcement. |
| currency pair, same lots, same timing is that you are | | | | Now, you can practise with this forex day trading |
| hedging your position. The up or down movement of | | | | strategy on your demo account. Do at least 10 trades. |
| the currency pair will provide you the opportunity to | | | | This day trading strategy does not need more than 10 |
| make profit. Place a stop loss of 5 pips and take profit | | | | minutes for you to implement. With practise you can |
| of 15 pips on both the orders. | | | | increase your pips to 20,30,40 or even more. |
| Suppose the rate goes up. The take profit order will | | | | The days of manual trading are almost over. With the |
| close your long position (buy order) when it reaches a | | | | introduction of the metatrader platform and the use of |
| profit of 15 pips. For the sell order, the stop loss | | | | MQ4 robotic script, most of the forex traders now use |
| ensures that you only lose 5 pips. Your net gain 15-5= | | | | expert advisors also known as robots to trade |
| 10 pips. In this case, the winning buy order provides the | | | | automatically. People are making thousands of dollar |
| foundation of 15 pips. By placing the stop loss you lock | | | | on autopilot with forex trading robots. |
| in your profit of 10 pips. 10 pips gain means $100 profit | | | | |