[ASK] Futures opening strategies in Fx

[Ajata]

Im trying to make a transition from futures markets to fx, how can we apply the first hour trading, opening gaps, volume conformation, to fx markets?

[sukhen]

Re: [ASK] Futures opening strategies in Fx

 

Forex market is every day losing volume. An intra day trend is many times soaked up by whips. May I ask you why you'd be interested in fx and not in futures? And, futures and options in fx are also available.

[Ajata]

Re: [ASK] Futures opening strategies in Fx

 

The main reason is that i live in a time zone difference, it is hard for me to daytrade US futures.

[Trader99]

Re: [ASK] Futures opening strategies in Fx

 

Hey Ajata,

Some of the ideas you mention regarding the 1st hour trading, opening gaps, volume confirmation, etc...I suspect could be applied in forex the same way as you would apply it to the futures markets with a bit of tweaking. For example, gaps do occur occasionally at the open of the market after the weekend close. One method is to trade the gap fill. I have noticed that often the forex market will move to fill the gap within a few hours of the open. As with any approach, you would need to test it on the pair you will be trading. Obviously in some futures markets you will have many more opportunities to trade gaps as they occur more frequently than in forex due to the 24 hr nature of the forex market.

 

1st hour trading strategies are similar in approach, except that there are possibly 3 or more market openings....UK/Europe, Tokyo and US to name the obvious :-) . Perhaps if you test any ideas you can share them with us on the forum....in fact, I suspect that some of the members may be willing to assist in exploring some ideas. I know I would be :-)

 

Let us know some of your thoughts and ideas.

[Ajata]

Re: [ASK] Futures opening strategies in Fx

 

Hey Ajata,

Some of the ideas you mention regarding the 1st hour trading, opening gaps, volume confirmation, etc...I suspect could be applied in forex the same way as you would apply it to the futures markets with a bit of tweaking. For example, gaps do occur occasionally at the open of the market after the weekend close. One method is to trade the gap fill. I have noticed that often the forex market will move to fill the gap within a few hours of the open. As with any approach, you would need to test it on the pair you will be trading. Obviously in some futures markets you will have many more opportunities to trade gaps as they occur more frequently than in forex due to the 24 hr nature of the forex market.

 

1st hour trading strategies are similar in approach, except that there are possibly 3 or more market openings....UK/Europe, Tokyo and US to name the obvious :-) . Perhaps if you test any ideas you can share them with us on the forum....in fact, I suspect that some of the members may be willing to assist in exploring some ideas. I know I would be :-)

 

Let us know some of your thoughts and ideas.

 

That are some good tips, when i'll do some back-testing i'll let you know, btw thanks for your encouragement ;)