I am a freelance trader with few years of experience. My strategy is to trade strength against weakness and my maximum risk per full lot size is under 100 points.
My unique way of trading is modeled after Isaac Newton's first law of motion also known as the law of inertia, which states that an object at rest will stay at rest until something triggers it, and when it is triggered into motion, it will stay in motion with the same speed and in the same direction until what triggers it becomes unbalanced.
Therefore:
a. We do nothing until the object is triggered into motion.
b. We want to be on the ball when the object is triggered into motion.
c. We want to stay on the object as long as it continues with the same speed and in the same direction.
d. We want to be out as soon as what triggered the object becomes out of balance.
My goal is therefore to exploit the imbalance between the two currencies that constitute the currency pair by using artificial intelligence to
1 Divide the currencies of the 8 major industrialized (G8) countries into weak and strong,
2 Rank them in order of strength from strongest to weakest.
3 The robot will then match and trade the top strongest against the bottom weakest and this should give us an edge and put the odds more in our favour.
4 The robot will never match and trade two strong currencies against each other or two weak currencies against each other as there is no edge in trading this kind of setup.
Trading this way reduces the risk per trade and if the trade is not moving in our favor, we want out as quickly as possible and wait for the next opportunity. There is no need to babysit bad trades as we can always re-enter the market when other trading opportunities present themselves. Therefore my maximum risk per trade which used to be 175 points is now 60 points (about US$60.00) as there is no need to take unnecessary risk as you can see on the daily trading videos on my blog.
You can view my profile on LinkedIn (George Olulana) and my profile at Forex Factory (919gilead).
Thank you
George