Pairs for Trading Forex:
- EUR/USD (Euro/US dollar)
- USD/JPY (US dollar/Japanese yen)
- GBP/USD (British pound/US dollar)
- AUD/USD (Australian dollar/US dollar)
- USD/CHF (US dollar/Swiss franc)
- USD/CAD (US dollar/Canadian dollar)
- GBP/JPY (British pound/ Japanese yen)
Pips (Percentage in Points)
Calculation of Pips:
In GPBUSD,
We will take only 4 digits after decimal.
Before price: 1.3269
After Price: 1.3132
Once: 1*(9-2)=7
Tens: 10*(6-3)=3
Hundreds: 100*(2-1)=1
So, Pips= 137
TIME ZONE SESSIONS
| Session | Time (UTC-4, NYC) |
|---|---|
| Asian Session | 6:00 PM - 12:00 AM |
| Pre-London Session | 12:00 AM - 2:00 AM |
| London Session | 2:00 AM - 5:00 AM |
| Pre-New York Session | 5:00 AM - 7:00 AM |
| New York Session | 7:00 AM - 4:45 PM |
| Session | Time (UTC+5:45, KTM) |
|---|---|
| Asian Session | 3:45 AM to 9:45 AM |
| Pre-London Session | 9:45 AM to 11:45 AM |
| London Session | 11:45 AM to 2:45 PM |
| Pre-New York Session | 2:45 PM to 4:45 PM |
| New York Session | 4:45 PM to 2:30 AM |
| Trading Sessions | Time (UTC-4, NYC) |
|---|---|
| Asian Session | 6:00 PM - 12:00 AM |
| Market Protraction | 12:00 AM - 2:00 AM |
| London Killzone | 2:00 AM - 5:00 AM |
| London Launch | 5:00 AM - 7:00 AM |
| New York Killzone | 7:00 AM - 10:00 AM |
| London Close | 10:00 AM - 12:00 PM |
| New York Launch | 12:00 PM - 1:00 PM |
| PM Session | 1:00 PM - 3:00 PM |
| Dead Time | 3:00 PM - 6:00 PM |
Use Indicator: Mr.Wilson Trading Session (UTC-4 NYC)
| Session | Time (UTC+5:45, KTM) |
|---|---|
| Asian Session | 3:45 AM - 9:45 AM |
| Market Protraction | 9:45 AM - 11:45 AM |
| London Killzone | 11:45 AM - 2:45 PM |
| London Launch | 2:45 PM - 4:45 PM |
| New York Killzone | 4:45 PM - 7:45 PM |
| London Close | 7:45 PM - 9:45 PM |
| New York Launch | 9:45 PM - 10:45 PM |
| PM Session | 10:45 PM - 12:45 AM (next day) |
| Dead Time | 12:45 AM - 3:45 AM (next day) |
High Impact Forex News
| SN | News & Events | Explanation |
|---|---|---|
| 1 | CPI (Consumer Price Index) | Measures the average change in prices paid by consumers, indicating inflation. |
| 2 | Interest Rate Decision | Central banks decide whether to raise, lower, or maintain interest rates, impacting currency value. |
| 3 | Inflation Rates | The rate at which the general level of prices for goods and services is rising, signaling economic health. |
| 4 | Labor Market Data | Information about employment, wages, and workforce participation, reflecting economic strength. |
| 5 | Employment Changes | Tracks changes in the number of employed people, influencing consumer spending and economic growth. |
| 6 | Non-Farm Payroll (NFP) Reports | Monthly report showing the number of jobs added in the U.S., excluding the farming sector; a key indicator of economic performance. |
Here are some reputable websites for forex news:
Forex Factory: forexfactory.com
FXStreet: fxstreet.com
Investing.com: investing.com/news/forex-news
Forexlive: forexlive.com
Interbank Price Delivery Algorithm (IPDA)
Four Characteristics of Price
- Consolidation
- Expansion
- Retracement
- Reversal
Consolidation
- Building Orders on both sides of the Market
- To trap Retailers
- It will happen If there is no volume and No Liquidity in the Market.
Time for consolidation: Asian Session 18:00-12:AM (Mid- Night)
Not Appliable in AUD, NZD, JPY Currency. (Asian Banks are Running)
Objectives of Price
- Trading to Liquidity
- Trading to imbalance
Price Delivery Arrey
It’s a zone of market price from which the market price changes its characteristics.
Types of Price Delivery Arrey:
- Order Block (OB)
- Mitigation Block
- Fair Value Gaps (FVGs)
- Liquidity Void
- Liquidity Pool
Order Block
It’s a zone in the price chart from which the market usually takes a reversal from this zone.
Types of OB:
- Bullish Order Bolck (Red Candle) Generally.
- Bearish Order Block (Green Candle) Generally.
Characteristics of OB:
- Liquidity Grab.
- Impulsive Movement of Price after that candle.
- The body must be bigger than Wicks.
Notes: OB is often placed by large financial institutions.
Strong Order Block is those OB from which the price will not cross 50% of that candle, also known as the mean threshold of OB.
Mitigation Block
It occurs when the price returns to a previously manipulated or inefficient zone, often caused by an imbalance or liquidity grab (like stop-hunting).
These blocks can act as support or resistance zones and are often good areas for re-entry or reversal setups. It is a zone where we usually take exit from the market in Breakeven.
Two Types of Mitigation Blocks:
- Buy-side Mitigation Block (Swing High)
- Sell-side Mitigation Block (Swing Low)
How to Identify Mitigation Blocks?
Usually, it is formed with 3 candles on the swing high and swing low.
The middle candle must have taken the upper price than the other 2 side candles in the Buy-Side Mitigation Block and vice versa.
Scalping Strategy (Setup)
Step-by-step:
- Higher Time Frame Trend= Up/Down
- Lower Time Frame Trend= Sideways
- Wait for Breakout Candle to enter = Pin Bar/Engulf
- Only take Trade if its breakout is similar to the Higher-time Frame Trend.
- Risk Reward Ratio = 1:2 Ratio (Minimum)
- Risk Management = 1% per Trade
- Money Management = 50% Trade, 50% Backup.
ICT Buy and Sell Setup 01
You can use the trading step-up for both buying and selling. Now I am explaining it step by step for buying, you can do it vice-versa for selling.
Follow the steps below:
Step 1: Find a Sideways in the price trading chart.
Step 2: Let the price expand.
Step 3: Find the FVGs in that price expansion. Mark that FVGs.
Step 4: Use Fib Retracement from bottom to top. Then you will see the Discount price which is below 0.5. Now let that price come to that Discounted FVG zone.
Step 5: Now BUY in that FVG zone, then wait for price reversal.
Step 6: If the price reverses from that zone then you can sell at the high of that recent previous higher high.
Step 7: If the price goes down, hold up to the previous sideways lower low.