The London Forex Rush System

The Open Range Breakout intra-day stock trading strategy works like this : once the Wall Street opening bell rings at 9:30am EST breakout trader chart the first 20 or 30 minutes of action for certain, particularly volatile stocks. This opening timeframe is usually filled with wild swings as emotion run high in the early trading. Breakout traders mark the high and low point of that early period of volatility, and then watch closely to see which way the stock trends from there. Once the stock "break out" of that range, either to the upside or to the downside, the trader can confidently gauge the general direction the stock is likely to take for the rest of that trading session.

Because this strategy is easy to understand, simple to execute, and above all, profitable that stock traders have been exploiting for ages, and they continue to do so. The London Forex Rush System is based on this powerful trading systemThe file come along with 2 ex4 indicators, template for Meta Trader4 and instruction manual. Click here London Forex Rush System and look for download link in comment section.

Trend Identification Bollinger Bands

Bollinger Bands basically plot standard deviations above and below a moving average. They were developed in the early 1980sby John Bollinger and are typically used to determine volatility. Here, however, I like to use Bollinger Bands to help me gauge a trend.

In the chart below, we plotted a set of standard Bollinger Bands using the settings 20,2 (which mean two standard deviations away from the 20-day moving average) and then added a set of 20,1 Bollinger Bands (one standard deviation away from the 20-day moving average). This helps us to create our buy zone and sell zone.

Typically, when an uptrend in a currency pair is very strong, it will remain in the buy zone, the zone between the upper Bollinger Band of two standard deviations and the upper Bollinger Band of one standard deviation, for some time. When the downtrend is very strong, the currency pair will remain within in the sell zone, the zone between the lower Bollinger Band of two standard devia- tions and the lower Bollinger Band of one standard deviation. If the currency pair closes below the buy zone or above the sell zone, we say that it has entered the range trading zone.

Bollinger Bands are great tools to use to help determine when a currency pair enters or exits a trend. For those traders who like to pick tops and bottoms, a good way to do so is to wait for the currency pair to exit the buy or sell zones.