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Showing posts from November, 2010

600 Pips in 5 Trading Sessions in EURUSD Pair

This is one of the simple way to earn profit in forex market. No need to see fibo levels, fundamental news like unemployment data, confusing yourself in tons of lines on chart. Just one single line with one indicator - Doda-Donchian indicator.
One example is latest EURUSD currency pair H4 chart.




The indicator gave sell signal on 23-Nov-2010 @1.35853. Without any major upside, it moves downwards, thanks to Ireland problem, it's currently trading @ giving a profit of 600 pips in just 5 trading sessions.
It's moving now to get support @1.29249
Can you get any other simple successful Forex trading strategies?

Sensex Next Week - 28 Nov 2010

Sensex is in downtrend from the last so many days. After reaching its all time high few days back, it is giving blood red on dalal street. Housing loan scam has also hit the market badly and some bad news relating to same is expected next week.
But we're here to analyze technical chart of Sensex using Ichimoku indicator.







On Friday, Sensex closes below Kumo level giving kumo breakout on downside. That means it will give BIG correction next week. The support will come around 18,300 when Chikou Span (CS) will find support around kumo. That will be right time to invest for long-term.

Pfizer Inc. (PFE) Chart using Doda-Donchian

You can use Doda-Donchian indicator not only in Forex market but also in stock market. I'm giving you an example chart of Pfizer Inc. listed in NYSE.












The indicator gave Sell signal on 4th Nov. 2010 @17.33, when the price closes below the Doda-Donchian line and from there it moves downward daily. On last trading session, it closes on 16.47, resulting in about 5% profit in less than 1 month. The chart is still in its downtrend movement and will move further down.
The same indicator gave Buy signal in its last bull run (not shown in chart), but you can easily see that the price was trading above Doda-Donchian line in that period.
Share your doubts and feedback in below comments section.

EURUSD Technical Chart H4 - 27 Nov 2010

Let's analyze the technical chart of EURUSD as on 27 Nov 2010 using Doda-Donchian indicator. I've used Doda-Donchian ver 2.0 here. I'm still coding it for further improvements. Once finalized, I'll share the MetaTrader MQL indicator with you here. Just keep in touch and subscribe to newsletter.


Without going into analyzing number of lines, retracements, support and resistance, this indicator gives buy and sell signals from a single line. If the prices CLOSES below the red line, take short position, and if the price CLOSES above the red line, take long position.
I'm emphazing on CLOSING of the price and not just movement of price above or below the red line.
Secondly, this indicator gives best results on longer time frame like H4. Those who think they can make money only in M15 or M30 timeframe, just open your mind and see the above chart.
Doda-Donchian indicator gave Sell signal on 23-Nov-2010 @1.35853 and it started its downward journey from there, giving a profit of …

Technical Chart of EURUSD - 24 Nov 2010

EURUSD is really in problem with its continuing downside correction. Issues like Ireland problem, and latest Korea problem can give severe jerks to it in coming days. But who cares for fundamental issues when we can analyze technical chart in simple way.


Here is EURUSD chart on time frame H1 for 24 Nov. 2010

EURUSD Technical Chart



I'm using here Doda-Donchian indicator posted earlier few days back. The price closes below Doda-Donchian line on 22-Nov-2010 at 13:00 and that was signal for short-selling. The result is around 300 pips profit in 2 days. Not bad at all.
Just want to add one more line here. Investors are generally afraid of using higher time frame like H1 or H4 and stick to M15 or even M5 chart. The result, you very well know, is loss of money and confidence. Just open your mind and try to learn something new. You can always try these on your demo account before you apply them on real account.
Got any queries. Ask now and I'll be happy to answer them.

Nity Weekly Chart - 18th Nov 2010

We've witnessed a correction in Indian stock market in last few days. Nifty has come down considerably from its all time high formed few days back. Fundamentally, we can talk of asian market correction, high inflation figures, EURO problem etc. But such news are always in the market. Without going into these discussion, let's see the technical chart of Nifty to get its target.



Leave the number of colored lines in this chart. Only two lines are important at this time.
1. Kijun-Sen of Ichimoku: Although the price was rising in last few days, but the kijun-sen line was flat, thus not supporting the bull run. Result, the gravitational force of kijun-sen will attract the price and Nifty will kiss this line, which is currently around @5550.2.
2. Double smoothed stochastic: On the bottom of chart, the stochastic line is in over-bought mode. This will come down below, resulting in Nifty correction.

Doda-Donchian Indicator with stop-loss feature

This is the modified version of Donchian channel indicator, popularly known as famous turtle indicator. I've modified it after removing 2 lines. The result is a single line, making a simple but one of the powerful indicator.
Buy: When price closes above Doda-Donchian line
Sell: When price closes below Doda-Donchian line
Stop-loss: Few pips away from Doda-Donchian line.
Works with any currency pair, CFD etc.

Recommendations:

Use higher time frame like H4. It works best there.
It happens many times that price kisses Doda-Donchian line, so it may triggers your stop-loss. So, place your stop loss few pips above / below this line.
Even if price moves above or below, that does not make any sense for change of signals. The candle MUST close above / below for confirmation.
Download Doda-Donchian MQL4 source code file

Download Doda-Donchian compiled file

Doda-EMA MetaTrader Indicator

Here is a MetTarder indicator developed by me based on Exponential Moving Average (EMA). This indicator gives buy, sell and exit signals based on following rules.






The rules are simple.

Buy : When EMA7 > EMA14 and EMA7 > EMA21 and EMA14> EMA21
Sell: When EMA21 > EMA7 and EMA21 > EMA14 and EMA14 > EMA7
Also, shows lines on chart on gives signals.
Shows no. of pips passed in bracket after giving signal.
Works on all currency pairs and time frames.
Recommendations:
Always use stop-loss based on your risk-profile or by another indicator like Parabolic SAR.
Cut your losses small & ride the profit long.
Download

Download MQL4 File
Download Compiled File