Fellow traders,
This article is about a fairly simple and easy strategy to set up on any trading platform, with high potential profits if used correctly. Even though it can be set up on all currency pairs and effectively give back high returns, it is hghly recommended for the major pairs and GBP crosses. The main reason behing this is the volatility required for the indicator to work and produce realistic results.
RSI
Many trades are probably familiar with the RSI indicator, which is one of the most commonly used worldwide. The indicator itself aims to show when pairs are overbought and oversold, which means that there are no more traders left to push the price in the direction it has taken so far. Any more details on how the indicator works would be unnecessary since all platforms have this ready and available to use.
Set-up
The conventional settings of this indicator are set by default on 30%-70%. The logic behing it is that any pair crossing the line above 70% is considered to be overbought and any pair crossing the line below 30% is considered oversold. The pair by rule will always eventually return to 50% which usually happens in a non-volatile period. Although this is effecti…
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