In this article, I will only write about trends. Proof of making money and how to identify as well as open orders in Olymp Trade Forex are also available. When you catch (identify) the right trend, you not only make money but you can earn many times the amount that you invest. I had 1 Forex order which tripled my investment (300% profit). You can review this article: 4 Things To Prepare Before Starting Trading In Olymp Trade (Part 2/20).
Trends are all that you need. Catch the trend, wait, open a correct order, and keep the money. You only need to stay professional and master one such skill.
Proof of withdrawal of $50 for the 3rd day in a row in Olymp Trade to the ACB bank account. Video on withdrawal will be in the latter part.
How to identify market trends
When I talk about trends, it means that the market is clearly trending. It is either uptrend or downtrend. To me, a sideways (trendless) market is not the right time to trade.
And in this article, I will only mention uptrend at first. In the following article, I will write about downtrend.
Two ways for you to identify the market uptrend most simply:
(i) Identify peaks and troughs: If the following peak and trough are higher than the previous ones, you can confirm that the market and the price is in an uptrend.
(ii) The price breaks out of the resistance and increases. When the price breaks through resistance and rises, you can predict: The market is entering an uptrend.
Please read the details of this article: What Is Uptrend? 3 Safest Strategies To Open An Order In An Uptrend. You can review all examples of an uptrend in that article.
How to trade Forex in Olymp Trade in an uptrend
If you try to fight a running train, it will crush you into pieces. And in an uptrend, we only open UP orders. Please keep this in mind: Uptrend = Up order. This will be the never-changing principle for my trading.
Olymp Trade has 2 forms of trading, and each of them has its own way of opening an order. I will guide you in detail on how to trade Forex in an uptrend.
Basic setup: It includes the EUR/USD currency pair, a 5-minute Japanese candlestick chart, a leverage ratio of x500, and finally a stop-loss at 30%. Why do we have this setup? I wrote very detailedly in the previous post.
If you trade Forex in Olymp Trade, there are 2 signals that you must really pay attention to when the market enters an uptrend.
Strategy 1: When the price breaks out of the resistance
This is when you can open a Forex UP order. Naturally, it is necessary to set in advance a reasonable stop-loss.
For example, Open an UP order with $20 when the price breaks out of the resistance. Set a stop-loss at 30% (if losses reach $6, the order is automatically closed). The Olymp Trade Forex trading fee is now $2.92. If you hold the order overnight, the fee will be $0.4.
Make sure that you set the STOP-LOSS between 20% and 30% of the amount you trade. The reason is simple: Maybe the price just temporarily exceeds the resistance (fake breakout) and then falls back. Therefore, to avoid losing money, you need to set a stop-loss right below.
Why am I not referring to taking profits? Answers: It is to maximize your profits as much as possible if you identify the right trend. When the market enters an UP trend, prices will continuously rise. And it took quite a long time for this UP trend to end.
Therefore, if you have opened an UP order, never take profits. Please be patient, your profits will gradually increase. This is exactly why I said at the beginning of the article: Just by identifying the trend correctly, you can multiply your investment by several times.
A detailed video on how to make money from Forex safely in Olymp Trade
Tips: In Olymp trade, you can freely adjust the stop-loss. You can understand it simply as follows: Initially, you set the stop-loss at 30%. But when the price goes up correctly in an UP trend, you can lift this stop-loss up.
The higher the price, the higher you can lift this stop-loss. And when the UP trend shows signs of ending, it will hit the stop-loss. Now, your order will automatically close. This is how you can protect your profits.
Strategy 2: The price retests the resistance
You can add up your knowledge about “Retest” through this article: What is Retest? Why is it so magical in technical analysis?
When the price breaks out of the resistance, the current resistance zone will become a support zone. If the price retests in this zone, this is also an entry point for you to open an UP order in Forex trading.
And of course, the skill of opening Forex orders is the same as above. Be sure to set a stop-loss to protect your account.
The price surpasses the resistance and rises, then retests this zone. Open an UP order with $20 and set the stop-loss at $6.
Pic: The price retests the resistance
Tips: Retest is one of the best trading strategies that professionals use. In Olymp Trade, you can place pending orders. You need to know how to use this tool. This is also considered an extremely important skill in trading.
For example, When the price breaks out of the resistance, you can place a pending order right here. As long as the price retests, the pending order will automatically be activated. Naturally, even when using the pending order, you must also set a stop-loss.
3 steps to place a pending order in Olymp Trade Forex
Step 1: Specify the price for which you will place pending orders.
As an example, I will place a pending UP order when the price reaches 1.13328
Step 2: Set basic conditions and open UP order
After setting a specific price, you must set a suitable stop-loss and take-profit. After that, open an UP order.
Step 3: Check pending orders in Olymp Trade Forex
If the price hits the level you set before, the pending order will automatically activate. Or you can cancel this pending order.
Strategy 3: Trade Forex when the price has entered the uptrend
You can understand it simply as follows: The price has been in an uptrend. You have confirmed that the previous peak and trough are higher than the previous ones. Now is the time to find the right entry points to open an order.
Signals: When the price crosses the old peak to form a new peak, this is when you can open an UP order in Olymp Trade Forex.
The market has confirmed the uptrend and the price is in an uptrend. When prices show signs of crossing a peak to continue rising, open an UP order right away.
Here are 3 specific strategies for you to trade Forex in Olymp Trade when the market is in an uptrend. You may have to cut losses several times because the signal is incorrect. But when you get the correct trend, you will multiply the investment several times.
Now let’s review some of the following lessons:
- In an uptrend, only open UP orders. Absolutely never go against the trend.
- Always set a stop-loss when entering a trade. As long as you open an order, there must be a stop-loss. Remember, you must protect your money before thinking of making money.
- If you determine the correct trend, you do not need to take profits. Let the market keep going up. Your job is to raise the corresponding stop-loss.
- Regarding predictive and analytical skills such as Break Out, Retest, or placing a pending order, you must understand and practice often.
- Do not open too many orders at once. You only need to open 1 order at a time.
So I have finished the 3rd day in a series of 20 consecutive posts: How to make money in Olymp Trade You can review these articles in the links below:
- How to make $1,000 in Olymp Trade: Safe, stable, and easy to carry out.
- 5 basic principles when trading in Olymp Trade (Part 1/20)
- 4 Things To Prepare Before Starting Trading In Olymp Trade (Part 2/20)
The post The Easiest Way To Trade Forex In Olymp Trade: Determine The Trend appeared first on How To Trade Blog.