I am a part-time trader with a full-time job. I am working with a commercial bank, and there I am working as a risk manager in the credit department. I always like to take the risk from my childhood. In my bachelor degree, I learned how to measure and manage risk properly.
I trade since 2014. In my trading career, I learned one thing, which is, if we follow a simple technique in trading, we will be successful. Our ultimate goal is to make money, not to prove what type of trading method we follow or what type of trading is right. Everyone is right until s/he follows proper risk management and make a profit in the market. Consistency is required.
Trading System Brief:
Type: Swing trading
Method: Price action (Technical Analysis)
Tools: Support and Resistance zone, Moving average, Volume, Overall sentiment.
Timeframe: H1/H4 (Depending on the situation), Daily (For key levels), Weekly (Major outlook.)
Using key levels as Support and Resistance:
- We will take a look at the weekly chart once a week. This is mandatory because we have to make sure what is going on behind the chart.
- Daily for drawing key levels. Where the market mostly reacts and create support and resistance.
- H1 or H4 chart will be used for actual analysis. Here we will look at support and resistance zone, how they react and find a useful trading opportunity.
Here is how 100 Simple Moving Average works:
Method of using SMA: 100 Simple moving average on H1/H4 chart to confirm the direction. It is also helpful for placing the stop loss. When the price is above the moving average it indicates possible bullish movement and we will look for buying opportunity strongly. For selling trade the opposite is true.
Finally, we have got a system which is very simple, but effective. I will update daily/weekly market updates based on this technique. And we will trade all the major and cross pairs including GOLD and OIL.