No. of Recommendations: 3
I've got a love-hate relationship with currency trading that I'm trying to resolve. So the following is mainly just notes to myself and not a finished business plan.

This seems to be the crux of the problem. Currency prices respond faster to news and events than a retail investor can keep up with, much less position him/herself to respond in advance of them. (Aka, skate to where the puck is going to be.) Therefore, stepping away from daily prices --much less intra-day ones-- is called for, as well as ignoring "fundamentals". That means using weekly price charts and --probably-- a discretionary, trend-following, entry/exit system of the sort, "If 'X' happens, I will do 'Y' (unless the set-up just doesn't "feel right").

Choosing a 'Charting Format': Greg Morris argues that Candlesticks (and Candle Pattern Analysis) are only appropropriate for daily charts and holding-periods of no more than ten days. I agree. So scratch them. I dislike American style price bars, but the color coding offered by Elder's "Impulse System" makes for easy chart reading. So they're in. Volume bars are something I also have a love-hate relationship with. Sometimes, the info they provide can be useful. But most of the time, they are just unnecessary clutter and can easily be ignored. So, volume won't be plotted.

Choosing 'Indicators' and 'Overlays': All indicaors and overlays are just derivatives of 'Price' and /or 'Volume'. Hence, totally unnecessary. But one or two judiciously selected ones ease chart reading. Without arguing its merits, I'm going to use StochRSI as the sole indicator and no overlays.

Here's a daily chart of one of the several funds or ETFs by which bets can be made on the direction of the US$. The 3-month trading-range that extended from late Jan to late Apr would have been a nightmare to deal with, and the signals provided would likley have chopped an account to pieces. In-Out. In-Out. That's just crazy. But look at the clarity obtained by switching to a weekly format.

As a first approximation, the 'Buy'/'Sell' rules are easy. Use X-overs of the 20 and 80 lines. But a bit a 'tape reading' suggests a refinement. Genernally, normally, almost usually, beakouts/breakdowns retest the low/high, as examining the price bars confirms. Hence, this becomes the tentative set of rules:

(1) When StochRSI moves out of the 'brown zone', you've been given a 'heads up", pre-buy signal. Expect the breakout to be head-fake followed by a re-test of the lows. Use the lows to estimate a good price for a MIT order, and plan to put on half your final position.
(2) If your buy-stop is hit, give the market a couple of days to confirm that your entry was correct. If so, scale in by a third more. If that is confirmed, add your final one-sixth and start looking for your exit signal, which --ordinarily-- would be a move out of the 'green zone'. Exit 'all-out'.
(3) If prices break out, but don't do a pullback, you've gotta decide whether to chase. Dropping down to a daily chart should decide whether you're too late to the trade or not. If so, don't chase. There'll be another bus along shortly.
(4)Shorting rules are the reverse of buying rules.

Caveats: This system has not been tested. It was created for doing analysis at (If used at, some slight graphics changes would have to be made.) And it was created primarily for using Schwab's no-commish ETFs and mutual funds, supplemented by an account with M1 Finance, Motif, or Robinhood.
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