Forex Sniper Killer Indicator (FSK)

FOREX SNIPER KILLER is an Indicator developed by a trading professional who traded forex for quite a long time by the name of Mr. Nathan Williams. The indicator intends to make trading currencies convenient for almost anyone even if they don’t have any substantial knowledge of the market, meaning that even with little knowledge about forex, one can profit from the markets with the aid of this indicator.

Unlike EA’s, this indicator provides you with all the information required to make a decision when trading on the market with a 95% success rate. Rather than spending countless hours trying to understand the ins and outs, this indicator provides information and guides on how to operate on the Forex market easily and successfully by giving you entries and exits.

Common Mistakes Noob Trader Usually Make

Making a mistakes are inevitable especially when you try something new. Here is 4 common noobs mistake in forex that might cause you a few thousand dollar.

1. Trade without a solid reason

In my past experience, the day when I started to exposed with forex, I usually hope the price go in my direction. I do believe most of new traders just enter the market based on their instinct. Some a bit advance, may use basic indicators such as RSI and Stochastic Indicators to sell when overbought, and buy when oversold without knowing the fundamental of price action and why the price move. 

For experienced trader, they will wait at certain area of the price and have a solid reason to watch on that area before entering the market. Most of them have a very little trade per month,while the noobs will wake up early Monday morning, wait for the market open and immediately buy or sell. 

2. Overtrade and Market Revenge

I saw a lot of new traders have this kind of habit to re-enter the market if the market against them. Some of them use martingle and some of them counter order the previous order. Most of the time these habit will cause their account blown in a few minutes.

We understand the psychology in the trading arena are intense. That is why this battle between bulls and bear is not suitable for everyone. Bear in mind that forex market is not quick rich scheme. It is a business. Any business have an opportunity to make you a millionaire overnight, or bankrupt in a second. Even a well prepared forex master suffer a loss in their trading career. No one hold a holy grail in this arena. 

3. Not using a Stoploss 

Not using a stoploss is a huge NO. Its the same as You let your account have no loss limit. Face it, sometimes you make a mistake trade. Let it hit the stoploss. At least, you still have the capital to enter the warzone again rather than just blowing your whole account. 

however, here is a quick tips for those who have a bad habit putting a stoploss and a fans of full margin trade.

If you have $100, only deposit $10 in your trading account. Let the magin call be your stoploss. Go full margin on the trade that you believe is right. If you are lucky, then you may double or even flip that $10 into $100. However, if you lose, you only lose $10 and still have $90 cash in hand. Try to flip that $100 into $1000 and grow from there. 

*There is a special forex setup called "compression" where you may grow your account up to 2000% in a few minutes. However, this setup not really common in forex chart. 

4. Having Unrealistic Expectation

Making a truckload of pips every single day sounds awesome, but is it possible? Maybe with a great deal of experience and skill thrown in with some luck, but let’s be realistic–that doesn’t exactly describe the typical noob.

By making stratospheric goals, you might be setting yourself up for disappointment. And if you’re disappointed often enough, you might quit trading entirely and miss out on a potentially profitable endeavor.

Instead of aiming for bajillions of pips a day, set realistic expectations and goals and then take concrete steps to enable you to achieve these goals.

That’s it for me today! I hope this list helps you.

I mean, I’m sure you’ll make a lot more trading mistakes – ALL traders make mistakes – but I hope you avoid these common ones.

Good luck and good trading this week!

Forex: Bear Trap

A bear trap is a situation when traders put on a short position when the price of a currency pair is falling, only for the price to reverse and move higher.

Bearish traders think the recent price action signals that an uptrend has ended when it actually has NOT.

Instead of declining further, the price stays flat or the uptrend resumes.

A bear trap results in a false trend reversal when the price is in an uptrend.

How a Bear Trap Works

Traders, usually institutional traders, who “set” the bear trap do so by selling the asset until it fools other traders into thinking its upward trend has stopped or is dropping.

Bear traps tempt traders into entering short positions based on the expectation that price will continue to fall which never happens.

The gullible and/or amateur traders who fall into the bear trap will often go short, thinking price will drop further.

They start shopping online for lambos thinking they’ll be rich soon.

At that point, the institutional traders who set the trap will buy at the lower price and will release the “trap”.

This counter move produces a trap and often leads to sharp rallies.

Eventually, they are forced to exit out of their short positions.

To exit a short position requires buying, so this buying pressure will cause the price to rise even further.

The bears are caught in a trap.

Once the bear trap is released, the price usually resumes its uptrend.

Red Dragon EA

 

We cant find much data on this EA. After testing with Demo account, we find that this EA based on breakout strategy on supply and demand zone. No martingle used and has a very tight stoploss (which you can adjust). From our test, we recommend the following setting:

Expert Advisor Recommendation

• Minimum account balance of 100$
•      Starting lot 0.01
• Work Best On EURUSD. However, also work on pair with low spread. 
• Work best on H1 Time Frames
• Low Spread ECN account is recommended.
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• Get your copy for only $5 here:
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Introduction to Elliott Wave Theory

Ralph Nelson Elliott developed the Elliott Wave Theory in the 1930s.1 Elliott believed that stock markets, generally thought to behave in a somewhat random and chaotic manner, in fact, traded in repetitive patterns. In this article, we'll take a look at the history behind Elliott Wave Theory and how it is applied to trading. 

Waves

Elliott proposed that financial price trends result from investors' predominant psychology.  He found that swings in mass psychology always showed up in the same recurring fractal patterns, or "waves," in financial markets.

Elliott's theory somewhat resembles the Dow theory in that both recognize that stock prices move in waves. Because Elliott additionally recognized the "fractal" nature of markets, however, he was able to break down and analyze them in much greater detail. Fractals are mathematical structures, which on an ever-smaller scale infinitely repeat themselves. Elliott discovered stock index price patterns were structured in the same way. He then began to look at how these repeating patterns could be used as predictive indicators of future market moves.

Market Predictions Based on Wave Patterns

Elliott made detailed stock market predictions based on reliable characteristics he discovered in the wave patterns. An impulse wave, which net travels in the same direction as the larger trend, always shows five waves in its pattern. A corrective wave, on the other hand, net travels in the opposite direction of the main trend. On a smaller scale, within each of the impulsive waves, five waves can again be found.

This next pattern repeats itself ad infinitum at ever-smaller scales. Elliott uncovered this fractal structure in financial markets in the 1930s, but only decades later would scientists recognize fractals and demonstrate them mathematically.

In the financial markets, we know that "what goes up, must come down," as a price movement up or down is always followed by a contrary movement. Price action is divided into trends and corrections. Trends show the main direction of prices, while corrections move against the trend.

Elliott Wave Theory Interpretation

The Elliott Wave Theory is interpreted as follows:

• Five waves move in the direction of the main trend, followed by three waves in a correction (totaling a 5-3 move). This 5-3 move then becomes two subdivisions of the next higher wave move.
• The underlying 5-3 pattern remains constant, though the time span of each wave may vary.

Let's have a look at the following chart made up of eight waves (five net up and three net down) labeled 1, 2, 3, 4, 5, A, B, and C.

Waves 1, 2, 3, 4 and 5 form an impulse, and waves A, B and C form a correction. The five-wave impulse, in turn, forms wave 1 at the next-largest degree, and the three-wave correction forms wave 2 at the next-largest degree.

The corrective wave normally has three distinct price movements – two in the direction of the main correction (A and C) and one against it (B). Waves 2 and 4 in the above picture are corrections. These waves typically have the following structure:

Note that in this picture, waves A and C move in the direction of the trend at one-larger degree and, therefore, are impulsive and composed of five waves. Wave B, in contrast, is counter-trend and therefore corrective and composed of three waves.

An impulse-wave formation, followed by a corrective wave, forms an Elliott wave degree consisting of trends and countertrends.

As you can see from the patterns pictured above, five waves do not always travel net upward, and three waves do not always travel net downward. When the larger-degree trend is down, for instance, so is the five-wave sequence.

Wave Degrees

Elliott identified nine degrees of waves, which he labeled as follows, from largest to smallest:

1. Grand Super Cycle
2. Super Cycle
3. Cycle
4. Primary
5. Intermediate
6. Minor
7. Minute
8. Minuette
9. Sub-Minuette

Since Elliott waves are a fractal, wave degrees theoretically expand ever-larger and ever-smaller beyond those listed above.

To use the theory in everyday trading, a trader might identify an upward-trending impulse wave, go long and then sell or short the position as the pattern completes five waves and a reversal is imminent.

Elliott Wave Theory's Popularity

In the 1970s, the Elliott Wave principle gained popularity through the work of A.J. Frost and Robert Prechter. In their now-legendary book, Elliott Wave Principle: Key to Market Behavior, the authors predicted the bull market of the 1980s. Prechter would later issue a sell recommendation days before the crash of 1987.

The Bottom Line

Elliott Wave practitioners stress that simply because the market is a fractal does not make the market easily predictable. Scientists recognize a tree as a fractal, but that doesn’t mean anyone can predict the path of each of its branches. In terms of practical application, the Elliott Wave Principle has its devotees and its detractors like all other analysis methods.

One of the key weaknesses is that the practitioners can always blame their reading of the charts rather than weaknesses in the theory. Failing that, there is the open-ended interpretation of how long a wave takes to complete. That said, the traders who commit to Elliott Wave Theory passionately defend it.