Trading scheme “Breath of the market” or “on moving averages”This strategy finds its application by a lot of traders. Its key factor is the vigilance of the trader behind the schedule of quotes.What the trader should follow firstWith growth, the quotes schedule has one important feature. He makes a brief jump to the opposite direction. Then it starts moving further towards the main trend. This leap will serve us as a signal, a call to action.To conclude such a deal is a great success for many traders. This short-term jump gives a good result. In order to use it, you need to enable this indicator in the parameters of the displayed graph.Preparing everything necessaryWe output the moving averages on the chart. This is available by default for most brokers.It will be necessary to add another 1 moving average with the desired period. The default setting is “12”.Next we will need to determine the trend.The trend will be determined by the intersection of our moving averages.Crossing up – will signal about the growing trend. In this case, all transactions go only up.Crossing down – will signal a falling trend. In this case, all transactions will only go down.Let’s move from theory to practiceOur main task will be to search for these jumps at the intersection of moving averages. After you find this jump, determine the direction of the trend and boldly enter into the trade.Analyzing the graph, we can often see such kind of jumps. Each correction will resume the movement of the quotes in the direction of the trend.When we conclude deals on raising:As a consequence of the intersection of moving averages in the upper direction.During the correction, the quotation chart of the asset we selected touched the moving average with a period of “50”.When we conclude deals on a decrease:As a result of the intersection of the moving averages in the lower directionDuring the correction, the quotation chart of the asset we selected touched the moving average with a period of “50”:ATTENTION! Strategy “Breath of the market” is tied to the trend (Trade is carried out only in the direction of the trend). Therefore, it is necessary to choose hourly intervals from 07:00 to 16:00 UTC (from 10:00 to 19:00 GMT), when there is a large volatility of quotations of traded assets.Terms of expirationThe strategy is designed to trade for a short period of time, with a timeframe from 15s to 1m. On such stretches of time it will be easier to keep track of the next race.Now we need to set the expiration date for the transaction. We will need to install it in such a way that at least 10-15 candles are formed from the moment the deal is concluded.For the timeframe 15s expiration time will be approximately 3-4 minutes, and for the timeframe 1m – from 10 minutes.Do not forget to count moneyTransactions in the above described strategy should consist of no more than 5% of the total amount that lies on your trading account. This will help you avoid losses and get the desired profit.I wish you all successful trading!OPEN DEMO ACCOUNT Related ContentWeltrade: Forex Indicator Stochastic (Stochastic). Signals and Recommendations 28.01.2019A trading strategy using the MA ALMA 23.03.2018An options trading strategy on TMA and RSI 20.03.2018What are analytical tools for a trader? 05.12.2018Trading strategy "average growth" 15.01.2019The “Twins” trading system 08.03.2018The direction of the market movement. How to determine? 09.01.2021A scalping strategy for options 20.03.2018Selling options before their expiration 28.02.2018Double Bolli - strategy for trading binary options 21.11.2018Market trends: trend and flat 16.03.2019Reliable and Effective FX Trading Strategy Based on MACD, RSI and SMA. 27.03.2019Effective forecasting: Learning to filter information sources. 19.03.2019The trend is a trader's friend 13.06.2018Binary options trading strategy "Zenith" 20.11.2018