Peso Pros Asia Breakout
This indicator helps you trade the USDMXN during the Asia-NY session. Daily profit targets (TP#1 and TP#2) are printed for you automatically as good targets that have not been hit yet. The top box is green so you know to buy the breakout of this box. The bottom box is red so you know to sell the breakout.
Good stop loss levels would be either A) right below/above the green/red box depending on breakout direction or B) on the other side of the boxes. So if entering a buy, place stop below the red box and vice versa. This would be for more swing trading style of trading.
Most cases TP#1 is hit and sometimes TP#2. If the distance between the boxes is tighter, TP#1 is the ideal target. If the distance is bigger than TP#2 is the ideal target. It is a good idea to use a trailing stop or set to breakeven to ride it out.
Occasionally there are fakeouts. There is no magic bullet strategy. This indicator should be used in conjunction with price action and other trading techniques. This indicator works best on the 15m chart and 5m chart for entries. You can modify some settings (do so at your own discretion)
Another good strategy to implement with this indicator is to have two pending orders set on the opposite side of each box with a tighter stop (such as in the middle between each box). In some scenarios the stop(s) will be hit and other times you may have a fakeout that activates both trades but only goes to one TP and the other trade ends up a loser. This happens sometimes if you simply set and forget your trades with this indicator rather than doing proper price action analysis. When you use this indicator as a tool to help determine the breakout direction along with the TP levels then some magic can happen and the overall win rate is quite impressive along with a decent risk to reward ratio.
Good stop loss levels would be either A) right below/above the green/red box depending on breakout direction or B) on the other side of the boxes. So if entering a buy, place stop below the red box and vice versa. This would be for more swing trading style of trading.
Most cases TP#1 is hit and sometimes TP#2. If the distance between the boxes is tighter, TP#1 is the ideal target. If the distance is bigger than TP#2 is the ideal target. It is a good idea to use a trailing stop or set to breakeven to ride it out.
Occasionally there are fakeouts. There is no magic bullet strategy. This indicator should be used in conjunction with price action and other trading techniques. This indicator works best on the 15m chart and 5m chart for entries. You can modify some settings (do so at your own discretion)
Another good strategy to implement with this indicator is to have two pending orders set on the opposite side of each box with a tighter stop (such as in the middle between each box). In some scenarios the stop(s) will be hit and other times you may have a fakeout that activates both trades but only goes to one TP and the other trade ends up a loser. This happens sometimes if you simply set and forget your trades with this indicator rather than doing proper price action analysis. When you use this indicator as a tool to help determine the breakout direction along with the TP levels then some magic can happen and the overall win rate is quite impressive along with a decent risk to reward ratio.