EUR / USD 07h30 - Forex strategy based on time

Forex strategy EUR / USD 07h30 profits from different time zones of the world and from this resulting volatility of paired volume Forex . At the specified time, 07:30, this strategy checks to see if EUR / USD is in the first stages of its trend formation. If a certain trend is recognized, a position is taken in the direction of the trend.

Warning: The type of strategy in which the potential occupation of the position takes place at a specific time (as opposed to the strategies in which the investor waits to receive a signal in any period of time) is practical and popular.

Details of EUR / USD strategy 07h30

Around 07h00 GMT, European markets are close to opening and the transaction volume on EUR / USD is starting to rise. At the same time the US is still sleeping, and the Asian markets are in the last 1-2 trading hours (Tokyo, Hong Kong). In the hours before 07: 00 GMT, EUR / USD pair, actually starts its trading day. This is the right time to determine if we have the beginning of a trend. If the trend begins to arise, the probability that this trend will continue for some time at a time when in later hours the transaction volume on EUR / USD will increase, is high.

We use the 07h30 EUR / USD strategy on charts with the M30 interval.

When should I open the position?

In order to determine if a trend is starting to emerge, the strategy combines three indicators SuperTrend, MACD and DMI (the first indicator must be downloaded on MT4, the other two are available as standard). The buy signal is generated at 07:30 if all three indicators are in a positive trend. The sell signal is generated at 07:30 if all three indicators show a negative trend. If the three indicators do not unanimously indicate the same trend, the position is not opened. We open positions at the market price.

When to close the position?

We use both in the title strategy stop ordersand the limit. Additionally, we use a time filter. If we still have an open position at 12:00, we close it manually at the market price. We set the limit order very close, only 12 pps from the place where the position was opened. The initial stop is a 48 period HighLow period. This stop is located far from the price to take the position and therefore serves as a hedge.

This example shows buy signal. We open a long position at the market price. The limit order is reached a few hours later and the position is closed with a profit.

This example shows the occupation sales signal. We open a short position at the market price. Our SL and TP orders are not fulfilled. The position is closed by the time filter at 12:00.

EUR / USD strategy 07h30 - Summary

The 07h30 EUR / USD strategy focuses on a specific time, which is the beginning of the trading day, when the volume on EUR / USD starts to rise and the trend begins to take shape. If a trend is identified, a position is taken in the direction of that trend. We place limit orders close, but the percentage of profitable trades is evenly high. This strategy is interesting for traders who like to trade within a certain period of time.