Strategy library

Rules you can check before you trade them.

Every strategy carries its exact rules, an annotated chart of the setup, the research behind why it should work at all — and the conditions under which you should not take it.

Showing 21–30 of 42 matching strategies

Evidence: ModerateBeginner

What Your Volume Number Actually Is

read this before any other page in this book

On a stock, volume is the number of shares that changed hands, reported by the exchange, and every participant sees the same number. On a spot currency pair none of that is true. Trading is spread across dozens of venues with no obligation to report, so there is no total.

AnyOrder flow · Data
Evidence: ModerateBeginner

RSI(2) Extremes

the short-period oscillator

A two-period RSI is deliberately jumpy. It is not there to describe a trend — it is there to register, in one number, that the last two bars have been one-sided. Below 5 means almost everything recently has been selling.

H1 primary · D1 for the trend filterMean reversion · Oscillator
Evidence: ModerateBeginner

Bollinger Band Fade

two standard deviations

Bollinger bands put a number on how unusual the current price is, in units of its own recent volatility. A close outside the lower band means price is further from its twenty-period average than it has been about ninety-five percent of the time.

M15 primary · H1 for the range checkMean reversion · Volatility band
Evidence: ModerateBeginner

CCI Extremes

deviation from the typical price

The Commodity Channel Index measures how far the typical price — the average of high, low and close — sits from its own moving average, scaled by mean deviation. Unlike RSI it is unbounded: it can read −400, and sometimes does.

H1 primary · H4 for the trend filterMean reversion · Oscillator
Evidence: WeakBeginner

Williams %R Reversion

position in the range, unsmoothed

Williams %R answers one question and nothing else: where did this bar close inside the high-low range of the last N bars? At −100 it closed at the very bottom of it; at 0, at the very top.

H1 primary · H4 for contextMean reversion · Oscillator
Evidence: WeakBeginner

Stochastic Reversion

the same reading, smoothed twice

The stochastic asks the same question as Williams %R — where in the recent range did this bar close — and then smooths the answer twice. %K is the raw reading; %D is %K averaged again.

H1 primary · H4 for the trend filterMean reversion · Oscillator
Evidence: WeakBeginner

Moving Average Envelope

a fixed percentage, on purpose

An envelope is a moving average with a fixed percentage band around it — not a standard deviation, not an ATR multiple. A half-percent envelope is half a percent whatever volatility is doing.

H1 primary · H4 for contextMean reversion · Envelope
Evidence: ModerateBeginner

The Cost Arithmetic

work this out before you trade any scalp

A scalp targeting six pips on a pair with a one-pip spread and a round-turn commission worth another 0.7 pips is not a six-pip trade. It is a 4.3-pip trade, and the stop has to absorb the same 1.7 pips on the other side.

M1 to M15 — the timeframes where cost dominatesScalping · Cost
Evidence: ModerateBeginner

Daily Trend Pullback

buy the dip inside a trend that already exists

The most-traded idea in the market, and the one most often traded badly. A trend is running; price pauses against it; you join at the pause rather than at the extreme.

D1 signal · H4 for the entry trigger if you want oneSwing · Continuation
Evidence: ModerateBeginner

Three-Day Reversal

three closes the same way, then the turn

Three consecutive daily closes in one direction is not rare, but three consecutive closes against an established uptrend is, and the fourth day resolves it one way or the other.

D1 onlySwing · Reversal

What the evidence rating means

Strong

The mechanism has peer-reviewed, FX-specific research behind it.

Moderate

The mechanism is sound, but at least one step of it is untested.

Weak

Practitioner literature only — no published research supports the mechanism.

It rates the mechanism — whether there is published research explaining why the market should behave this way. It does not rate profit. Strong does not mean the trade will work. None of these have been run on our own account, and no page here shows a backtest figure.

What the level means

Beginner

One instrument, one timeframe, every rule visible on the chart.

Intermediate

Several conditions have to line up, and execution starts to matter.

Professional

Needs an outside data feed, a basket, real order flow, or an unusual tolerance for lumpy losses.

The level describes what it takes to run the strategy, not how well it works. Several Beginner pages are better evidenced than several Professional ones — a basket carry trade is Professional because it needs eight currencies and a swap table, not because it is cleverer than buying a pullback.

Trading carries risk and most retail accounts lose money. Nothing in this library is financial advice or a recommendation to trade. The charts are illustrations of the rules on constructed candles — they are not records of trades and not backtests.