Do you know a good end of day strategy?
Here’s a question which came in by email from a trader named Adam.
Do you know about a good forex strategy which could be traded end of day?
I admire the brevity of Adam’s inquiry and will respond equally so by saying “Yes”.
That’s not very helpful, of course, and a little bit of a snarky reply, but it does answer the question asked, doesn’t it? 
In all sincerity, though, the question needs a bit more clarification. For example, when Adam say “could be traded end of day” what type of holding timeframe is he looking for? Obviously, he’s not talking about scalping here, but it is possible to practically day trade based on EOD data. Most people, however, are thinking more swing or position trading when using EOD figures.
A second question I would ask is whether Adam wants to be a trend following trader or a range strategy player. Those are really the two main approaches. The former tends to be a go-with approach, or one where the trader seeks to enter with the trend on counter-trend moves. The latter type of trading seeks to identify ranges and fade moves to their limits in expectation of turns back in the other direction. Some traders favor trends, while others tend to favor ranges.
Beyond that we get into the question of the different types of techniques one can employ.
In other words, I cannot offer Adam any areas to further his market study without getting to know more about his broad trading plan. If he cannot provide the sort of information I noted above, then he needs to take some time to sort out his direction. This is something which trips up a lot of new traders. They try to jump right into things without taking the time to figure out what they should be doing.
If you’re in a situation similar to Adam’s, I encourage you to check out my new book, New Trader FAQs.
Struggling with support & resistance and knowing what the key market levels are? Check out the Price Distribution Analysis methods I use.
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