The 2hr London open foreign exchange trading system is a simple and easy breakout fx trading system created to capture all the breakout of high and low of the second hour candlestick after the London foreign exchange market opens.
- The recommended currency pairs comprise of GBPUSD, GBPCHF and GBPJPY.
- The recommended session for the system to work comprise of the New York, end of Asian and London fx trading session.
- Two hours after the London market begins, and as soon as the second hour candlestick ends, position two reversed purchase stop and auction stop pending orders on the high and low of that second hour candlestick. As soon as one of the pending orders is live, you must call off the other right away.
- This pending order must be of two or three pips higher up, the high or low of the second hour candlestick.
- The stop-loss must be positioned two to three pips higher up or beneath the high or low of the first hour candlestick. If it is the extreme distances far away from the starting price level, if not utilize the high or low of the second candlestick. Confused what this statement means, please let me explain in details: There will be times when if you begin a purchase stop order, you will notice that the low of the 1st candlestick is nearby the starting price but the second candlestick has a low that is a little far away, so you necessitate to utilize the low of the second candlestick to position your stop-loss. Do the exact reverse on a positioning a stop-loss for an auction set up.
- Take gain aim is established at 30 pips.
- It is highly recommended that you don’t change stop-loss to breakeven or utilize trailing stop method to lock in gains. You just let your exchange progress and allow the market to provide you the gains or losses.
Utilize this strategy at your own risk. WindsorForex.com cannot be responsible for any losses associated with using any strategy presented on the site. It’s not recommended to utilize this strategy on the real account without testing it on demo first.