The DG FX Model (the “Model”) is used by forex traders because it allows them to condense global forex information and pairings into an easy format, quickly and efficiently. Each FX pair across all time frames can take up to several minutes to assess in total. Most of the time, it is nearly impossible to gain a perspective of each pair across this many time periods. Even if the market is moving with average volatility, it is very testing for the forex trader to keep track, whilst maintaining a clear and concise overall stance.
Proprietary trading/signal guides and a series of algorithms are outputs of the Model and there are a series of “trading momentum” periods, from 1 minute right through to 240 minutes, which can be brought together to create the best forex trading indicators. These can be coupled with trade traps and by identifying “blockades” traders have a clearer indication of the likely moves being made in the FX markets around the globe.
Traders generally can have access to an extensive array of market and financial information which affects the returns and nature of the market. It is the interpretation of this information and data that is key to a trader’s success. The Model sets out to simplify and focus key data into timely trading signals and guides.
With the Model grids. traders have that clear and concise picture 24/7. For example, they are able to view up to 5 time frames for a particular currency pair in one single grid. Within seconds a trader can see precisely the directional move, across all of the time frames; hence knowing instantly, when best to enter or exit for better than average, short term results.
“One minute” momentum indicators
These are the best indicators for quick, immediate-term trades. They occur most often, and the particular setup needed is not complicated; however it does require patience in waiting for the opportunity to present itself.
After the 1 min momentum indicator passes at least 3 points of the traders criteria a trade is signalled, with the appropriate targets and stop loss levels selected.
In these following grids, one can see an example whereby traders can wait (over the time frames indicated) for a “road block” to develop across all 4 or 5 lanes (time frames). Once these match up and create a fort of resistance/support, a trade can be made on the bounce of that price. When the colours match up and form a band of support/resistance at a specific range/price, traders can act the appropriate way.
Over the 11 minutes demonstrated in the chart below, a classic example of this type of trade is shown:
The Potential Results
The Model systems and algorithms have been tested over a 12-month period, commencing Oct 2012 and the following results were observed. Please note these figures are shown purely to demonstrate the potential of the Model. The figures have not been verified by any external or independent party should not be used solely as a basis of using the Model. They are included to demonstrate the system working successfully over a reasonable period of time. Past results are no guarantee of future performance.