Getting Sniper Entries In Forex Trading
Making a good entry
In the financial markets entries contribute 90% of the success of that trade, the entries must be good so that stop loss is will be strategical placed as far as risk is concerned, There are many factors that one should consider which includes, the candlestick patterns, the trends lines and also Fibonacci levels take a good analysis at your indicators, when the factors that surrounds sniper entries are considered holistically you can never get it wrong.
Master the trend
The most important thing for your entry should be to understand whether you are going with or against the trend. In other words, if you’ve been rising in this market for months, and you are looking to buy the currency, then it means that you are trading with the trend. However, if you have an entrance into the market that is a short position, you are going against the longer-term trend
While there are literally hundreds of candlestick patterns you can choose from, there are handful of them that catch most traders attention. I believe that probably the most important one is going to be the hammer or shooting star, as it shows a complete reversal. If you can marry that up with a major resistance level or perhaps even some other system, then you have several reasons to enter a trade
Use of Indicators
Some people will use a specific moving averages situation to start buying. For example, a moving average crossover system is quite often used by trend traders. A trend trader will wait for a smaller time frame moving average to cross above a longer timeframe moving average to start buying, or vice versa. One of the most common ways that traders employ this strategy is to buy a currency pair won the 50 day EMA crosses above the 200 day EMA and sell when it breaks to the downside.
Using Fibonacci retracement levels
There are a lot of traders out there that use Fibonacci retracement entries as well. Some of the most common will be the 38.2% Fibonacci retracement, the 50% Fibonacci retracement, and the 61.8% Fibonacci retracement. This is especially interesting when there is also a round number or previous support/resistance to back up a Fibonacci move as well. There is probably nothing truly magical about Fibonacci when it comes to trading markets, only that so many people pay attention to it and that’s in the end all that matters, people will look for some type of candlestick pattern at one of those major Fibonacci retracement levels.