special: trading ideas david aranzabal. ✦ degree in software engineering from deusto university...

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Special: Trading Ideas David Aranzabal

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Page 1: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful

Special:Trading Ideas

David Aranzabal

Page 2: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful

✦Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful software companies Lecturer at the Financial Congress and IESE

✦Founder of FXforaliving.com, specializing in forex education. Full time trader since 2004.

✦Regular contributor to FXStreet, Estrategias de Inversión, Finanzas.com, Revista Inversión, Trading Room, Bolsalia, and Madrid’s stock Exchange

✦Contributor to Hispatrading and Trader’s Magazine

✦Presenter for over 100 live trading sessions and over 1,000 free webinars to date

✦Creator of online educational video series, reaching 1 million views (Youtube + Vimeo)

✦Founder and organizer of Trading Week® and The Forex Day®

Page 3: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful
Page 4: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful
Page 5: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful

VOLATILITY

Page 6: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful

Trading Ideas

Page 7: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful

Volatility

A statistical measure of price dispersion in a currency pair.

In general, the higher the volatility, the higher the risk in the pair.

Page 8: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful

Volatility periods

Periods of low volatility follow periods of high volatility

Periods of high volatility follow periods of low volatility

Again and again and again.. and then it starts all over.

Page 9: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful

Bollinger Band

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Because the standard deviation is a measure of volatility, Bollinger Bands adjust to market conditions.

When markets become more volatile, the bands widen (move further from the mean), and during periods of lower volatility, the bands become narrower (move closer to the mean).

When the bands are very close to each other, it can be a sign that volatility is about to rise substantially.

Page 10: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful

John Bollinger

Page 11: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful

Bollinger. Mean and Bands

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Page 12: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful

Range trading Within the bands

Trend trading Once they get closer to the mean

Breakout: With RSI filter

For automated systems: B% and Bandwith

Bollinger trading:

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Page 13: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful

Bollinger for Range Markets

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Page 14: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful

Bollinger for Trend Markets

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Page 15: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful

Bollinger with 2 and 4 Standard Deviations

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Page 16: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful

Bollinger Breakout

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Page 17: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful

Bollinger and RSI Breakout Filter

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Page 18: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful

Trading Ideas

Page 19: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful

VOLATILITY AND VIX

Page 20: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful

VIX is the ticker symbol for the Chicago Board Options Exchange (CBOE) Volatility Index, which shows the market's expectation of 30-day volatility. It is constructed using the implied volatilities of a wide range of S&P 500 index options. This volatility is meant to be forward-looking and is calculated from both calls and puts. The VIX is a widely used measure of market risk and is often referred to as the "investor fear gauge”.

Page 21: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful

VIX is the code of the Chicago Board Options Exchange Market Volatility Index.

Page 22: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful
Page 23: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful
Page 24: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful
Page 25: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful

13 - 19

Page 26: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful

Trading Ideas

Page 27: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful

Trading Ideas

Page 28: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful

LONDON SESSION

Page 29: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful
Page 30: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful

Time flexibility is a great advantage for people with various schedules and allows for

adaptation to everyone's day

Since it's a global market, we can trade anywhere in the world, even while we're

travelling.

Because it's a traded market without interruptions, there are no opening gaps

each day.

Page 31: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful

This minimizes the risk of trading gaps at night caused by unexpected news, natural disasters, wars,

etc.

The advantage of not having gaps is indisputable, since it allows us to manage risks in a much more precise way, calculating down to the last pip, because normally we won't have the problem of

slippage or trading gaps.

Page 32: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful
Page 33: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful
Page 34: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful

8:00(LONDON)

11:00 (MOSCOW)

Page 35: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful

LIVE TRADING AT:

Page 36: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful

EXAMPLE 1:

Page 37: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful
Page 38: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful
Page 39: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful

EXAMPLE 1I:

Page 40: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful
Page 41: Special: Trading Ideas David Aranzabal. ✦ Degree in Software Engineering from Deusto University MBA from IESE Business School Founder of 2 successful

[email protected]

@FX_FORALIVING