Forex Trendline BreakEA For MT4

• Forex breakout Strategy is an excellent and extremely popular way of spotting major market moves in their earliest moments.

• There are many different theories to trade Forex and one of the safest and most reliable methods is trading technical chartbreakout patterns.

At some point a currency pair will slow down on its overall trend, this is known as consolidation of a price.

• This motion of consolidation when viewed in chart format can take the appearance of triangles, wedges, flags, pennants or rectangle channels being formed, it is the breakout strategy of these triangles that traders can look forward to trade breakouts.

Over the years, technology has advanced but sadly most Forex breakout strategies have not.

• Today, if you're still drawing support/resistance lines and simple trendlines to form wedges, triangles and the like to identify your breakout setups, then it's no wonder that your Forex breakout strategies are not working.

• Simple lines are no longer sufficient to give you a big edge in breakout trading, especially in the ultra fast moving arena of Forex market.

• Breakout happened fast and furious. By drawing simple trendline on the charts provides only a visual note to trader.

• However, it provides no value to overall trading performance because no trade entry or exit was made at the instance of trendline break.

• True breakout takes awhile to happen and is hard to come by, so this genuine signal cannot be missed. It requires constant monitoring of market to ensure that this trade signal will result in a trade entered in the intended direction.

• In order to trade forex breakout strategy, breakout traders have started to make use of technology to automate part of the market monitoring work to software like trendline break EA commonly known in the MT4 community.

• These smart tools can effectively recognize a breakout patterns first identified by the traders. Then, it is tasked to monitor the market on the trader’s behalf.

• Once breakout pattern is confirmed by way of trendline breaks, the EA will then execute trade entry and exit from the traders’ trading system.

• The key to success with Forex breakout strategies is in recognizing that breakouts don't happen after every consolidation. There is only one reason why there are breakouts in Forex, and that's when trades are piling into the markets one after the other.

• This can be as a result of high impact news releases, such as the non farm payrolls or interest rate announcements, or in periods following market opens.

• In order to filter off unwanted breakout patterns that make us lose money, we can introduce a few indicators into our breakout strategy so as to reduce the number of trades which result in false breakout.

• We only want the best breakout signals. Forex geometry system is a good trendline EA for trading breakouts in MT4 that allow traders to select any MT4 standard indicators to acts as a filter.

• If we introduce ADX into our breakout strategy, my personal use on this indicator is to introduce an ADX rule that in order for breakout to be genuine, the ADX values must be below 15. ADX 15 tells us that market is in very tight range and consolidated for a while.

• Introducing this ADX will ensure that all trendline break signals which has a ADX value of 15 and above will be ignore by the EA. Only when the ADX rules applies together with trendline break will then result in a trade entry made by EA.

Anyone who is new to trading forex and wants to get started with a time-tested and

proven strategy.

• Next, he must learn to make use of trend line EA or similar software to ensure that he has the edge in executing trades that are of high quality and fast reaction entry upon genuine chart breakout patterns.

About the Author

• Warren Seah is the author of the book titled ‘How to be a Currency Trader’ found on the Amazon Kindle Market. He has built a forex software brand called Flagforex which has over 400 satisfied customers.

• He personally has been developing forex software that serves to automate forex traders strategy plans thereby, freeing up their time to monitor the market. For more information on working with trendline ea on MT4, head to this url now:

• http://www.ForexGeometry.com