Advanced strategy #21 (5 Min Morning Pivot Strategy)

Currency pairs: Any
Charts: 5 min and 1 hour

After midnight (on Christmas night... just joking :)... any day after midnight, find the first opening candle on your 5 min chart.

Now draw a horizontal line through it's middle. This line will now act as an Advanced 5 Min Morning Pivot!

Let's see how we did the math:
High: 1.13051
Low: 1.2967
5 min Morning Pivot: (High - Low)/2 + Low = 1.3009

Then on hourly chart once the first hourly candle has closed, look at your Morning Pivot line in relation to the hourly candle, and answer the next question: Which way the price is pulling today?

Answer keys:
If most of the hourly candle is above the 5 Min Morning Pivot line – we are bias to Buy today,
If most of the hourly candle is below – Selling bias.

If it's about equal – well, we have received no clues this morning, hence abandon this method for today).

You’ll be amazed how price respects this Morning 5 Min Pivot line!
Aggressive entry could be done as soon as 1 hour candle is closed.
Conservative entry (preferred) would be done only on the re-test of the 5 min Morning Pivot line. Again, you'll be amazed how fairly often price comes to re-test this line!

But wait, we can go even once step further:

Let's set additional condition:
If this 5 min Morning Pivot line contradicts with regular Pivot Points for the day in terms of trend direction, then we'll skip this currency pair today.
Choose only currency pairs that have high probability to be profitable for each day.

Merry Christmas!

Edward Revy,
http://forex-strategies-revealed.com/
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