Best Forex Strategy For Any Traders

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Simple forex strategy for beginners primarily used to buy dips in bull markets and sell rallies in downturns. It is a universal trading strategy that works on all time frames and currency pairs. Let’s take a closer look at how it works.

The purpose of this strategy

  • Buying falls in uptrend markets.
  • Sale of rallies in markets with a downtrend.

How does it work?

The strategy consists of two moving averages. A buy zone is created when the short-term moving average crosses the long-term moving average from below. Rather, a sell zone is created when the short-term moving average crosses the long-term moving average from above. See the picture below.

The buy zone will be used to trade long signals and the sell zone to trade sell signals.

Buy and sell signals

BUY signal: Buy zone + Laquerre crosses from less than 0.15 back above 0.15

Sell signal: Sell zone + Laquerre crosses from above 0.75 again below 0.75

Stop loss

BUY Signals: Place the stop loss 1 pip below the most recent support level.

SELL signals: place stop loss 1 pip above the most recent resistance level.

Target profit levels

Total business risk x 1.5

Business example

In the example above, the two moving average system created a sell zone: the 5EMA has crossed the 200 SMA from above, thus creating a sell zone.

In this case, we will only look for sales operations. As you can see, the Laquerre indicator re-crosses from above 0.75 downwards and we immediately sell the EUR / USD at 1.3127 (at the opening of the new candle).

We placed our stop loss above the most recent resistance level at 1.3191. Total risk (pips): 64

Calculation target: 64 pips (risk) x 1.5 = 96 pips (TP @ 1.3031)

About the author

Nafees Saifi // entrepreneur, author, trainer, and stocks and FX trader. 
Nafees Saifi is a professional FX trader from, India. Nafees has extensive experience trading commodities, bonds, and equity futures in the Asian, European, and US markets. Nafees holds a Bachelor of Finance and Economics degree and is focused heavily on Investment Finance and Quantitative Analysis.


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