Description
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CopperChips – EURUSD Trading System
EUR/USD Forex Strategy
Imagine that a forex trader has been watching the EUR/USD range trade and suspects that, because no important economic release or news item is expected, the exchange rate will continue to range trade. Based on this, the trader employs a range-trading forex trading system that says to buy whenever EUR/USD falls to cross the lower Bollinger Band as shown in the chart, Trade Start, and sell whenever EUR/USD rallies to cross the upper Bollinger Band. As is evident over the period of the chart, EUR/USD tends to move back within the trading range whenever this happens.
