Simple Forex Daily Breakout Strategy

There are many reasons why I would advise anyone to trade forex using the daily timeframe, but first, you have to find a suitable forex trading method.

The following reasons are why you should consider trading forex using the daily timeframe:

• With the daily timeframe, you reduce the risk of overtrading; because you are focused just on the daily candle and you trade only once a day.
• You get to go with the trend and increase your potential of hitting your target.
• You get to trade your method consistently.
• There is a reduction in noise in trading with the higher timeframe such as a daily candle. With the higher timeframe, false signals are reduced with the higher timeframe.

Now, that we have listed some of the benefits of trading with the daily timeframe, the next challenge is looking for a trading plan. Now I will want you to look at an empty daily timeframe without any indicators. I am sure you will notice a pattern of candle breaking the daily high or low of the previous day. This is what we will be basing the daily breakout methods we will be discussing in this article, that is the breakout of daily high and low.

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Trend Breakout of Daily High or Low

In this forex daily trading method, we based on our trade on the predominate daily trend and trade the breakout of the daily high or low depending on the trend.

Various indicators can be used to determine the trend or sentiment of the market and the one you want to use will depend on you. I am not going to highlight any particular indicator to use here so you can use the one you are ok with and understand. We are just going to discuss the principle of trading this simple trading method.

Now, when you have determined the trend of the daily candle, you wait for the daily close of the candle to place your order. This is where it is a little tricky, for it is not all candle that you should trade with this method.

For example, if the predominating trend is bullish, then you must wait for a bullish candle to form at the close of the day and place your order just above the daily high of the day. In most case, the next candle will move past this order and trigger your trade and move way above the previous day high.

This is the basis of the trade, and it is simple to execute as it is simple to understand. The same principle you can apply to bearish sentiment when trading this daily breakout strategy.

You will need an understanding of candlestick formation to trade the daily forex method efficiently to execute this trade. You will need to understand the concept of demand and supply in forex, ranging market and trending market.

This forex daily breakout strategy is straightforward to understand and execute, but placing your stop loss and target point can be confusing. This depends on you actually, as you can place your stop loss and target point as follows:

• Placing target and stop loss 30 pips away from the entry, is one way people have traded this method.
• Some are comfortable placing stop loss and target points 50 pips apart to create more room for risk to reward ratio.
• You can place your stop loss and target point trading this daily forex breakout by going to the lower timeframe like 1 hour or 4 hours to calculate support and resistance region.
• You can also use Fibonacci and 123 trading method to target your target point and stop loss.

How To Trade Forex Successfully

Trading Daily Forex Breakout Using 4 hour Inside Bar Candle Formation

This forex daily breakout strategy commonly occurs in the daily formation, and you will need a combination of 4 hours and daily timeframe. The daily timeframe is to sort out the predominantly trend in the market while the 4 hours timeframe is to take your entry, stop loss and target.

Trading this daily breakout strategy requires you to go to the 4 hours candle at the end of the trading day and look for inside bar formation that will likely break the daily high or low depending on the predominant trend in the market.

This daily breakout strategy is very profitable with a likely 1:3 risk to reward ratio depending on how you trade your inside bar.

Now I will show you how I trade this daily breakout strategy, and I place my order on the high of the day if the trend is bullish. Then I calculate the difference between the highest and the lowest and divide it by two and will subtract this from the entry point as my stop loss. The target will be three times that of the stop loss added to the entry.

You can see that with this method, investing $50 will give you $150 if you trade it with this method.

You should note that no trading strategy is 100% and you should trade with proper money management in mind. The same thing goes with applying this forex daily breakout strategy, and you should backtest this method before applying to your forex trading.

7 Reasons For Social Media Marketing For Your Business

With social media marketing, you can get your business to reach out to millions of people and increase your conversion rate and potential of making money.

You cannot underestimate the importance of social media, with over millions of registered users and million active users daily. So you can imagine the potential of reaching out globally without no limit to millions of people.






So if you have not considered social media marketing, then its time to rethink your business strategy. Gone are the days of door to door marketing, and even telemarketing and email marketing are not as a result oriented as social media marketing.

In this article, we are going to highlight the advantages of social media marketing:

1. Reaching Out To More People

The potential of reaching out to more people when you make use of social media to market your products and services. There are millions of people registered on the most popular social media platforms such as Facebook, Twitter, YouTube, Google+ and so on. So with your business registered on these platforms, you have the potential of reaching out to millions of people.

2.Reach Out To Targeted Audience    

You can quickly reach out to your potential targeted audience with social media marketing using some of the relevant tools on the platforms. With these social media platforms, you can reach out to specific people that will be interested in what you have to offer. This will increase your potential for making sales and increase your conversion rate. Using Facebook, you can join groups of similar interest, while Twitter, you can make use of hashtags and trending topics.

3. Communicating With Clients 

With social media marketing, you can communicate easily with your client and potential clients, as they can easily reach you through your social media handle. Through this, you can easily get feedback about your services and responds to any inquiries or complaints quickly.

4.Exposing Your Business 

Your business is more exposed when you are on social media as online search registry can easily fetch out your business details when keywords relating to your businesses are searched for online. This is a huge advantage especially in this our age when people make use of online search engine to make research.

5. Increase Traffic

One of the advantages of social media marketing is that it helps to increase traffic to your website or business. As you post on social media platforms like Facebook, Twitter and the rest, and as people get to like and share your post, more people get to see that post and this increase traffic to your website.

6. Cost Effective 

Marketing is part of a business plan and with social media marketing; the cost of marketing has dropped considerably. Companies used to spend a vast amount of money on marketing, but with social media, the price of marketing has dropped and you can reach out to more people.

7. Feedback And Market Insight

Social media marketing helps you to gain insight into the market and understand what the clients want. Companies usually spend a huge amount of market research surveying to get to the mind of the customers. But with social media, you can carry out a sample online for free, as you can easily analyze consumer sentiments from trends and social interactions.