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Say in the above example, the stoch did cross down located on the 5 min chart, long time I taken into consideration my 60 min chart, I ensure that price has just bounced up from the 1st Level of resistance and that there was a wide spike luminous constructed of wax. This may be enough for me to take a short trade, now in search of the 5 min stoch line to head down through the horizontal thresholds. Again I will stay in the trade with a reasonable stop, watching for finding a turn through the 5 min stoch line.
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Observe a monthly document. Mark out the highest point and the lowest point the pair reached for a length of a couple of months. Observe the most prevalent price the currency pair kept here we are at and draw a line through then. That is your entry anchorman. Go long with 1.2 lots at that point and go short in the same point with 3.2 lots. Your per-pip value will be USD 2 in each trade.
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