Very Simple forex trading system – simply look for 1 of 2 candle formations at or near the Bollinger band (in this case the default 20)
You are looking for either 3 consecutive bulish candles for a buy, 3 consecutive bearish candles for a sell – that’s it!
Things to note. On the larger moves, the price WILL retrace. Best thing to do in this situation is when you see this happen (typically 1 or 2 candles in the opposing direction) simply close the trade and re-enter when the price has returned to the point where the change started. as for exit strategy – a lot of the time you can count on approx 2 – 3 times the value of the retracement (e.g. if the price retraces 10 pips, then you are looking on the re-entered trade of a TP between 20 – 30 pips!
You can use ANY 3 consecutive candles, however this works best when the price has just “bounced” off the Bollinger Bands.
Happy Forex trading!