Let’s say you’re trading in the EUR/USD pair and notice minor price fluctuations. This may prompt you to adopt basic day trading strategies, only much quicker — within 15 minutes. With the 15 minute chart trading strategy, you’ll be buying/selling the pair as needed within this timeframe.
While the profit margin may be low in this case, if you do things right, you can maximize your gains.
What Is A 15Min Chart Trading Method?
The name says it clearly: the 15 minute day trading rule is a shorter form of day trading (within 15 minutes).
You can contract the time limit even further.
The idea is to spot a trend, buy/sell and then sell/buy within 15 minutes. Of course, you can buy multiple pairs and then sell multiple pairs within this time limit. In some cases, people may make a hundred transactions in this short period.
But for the 15 minute chart trading strategy to work, you must first successfully predict where the market is headed.
Which Indicators To Use For The 15-Minute Chart Trading Method?
Indicators help traders understand the current market condition and predict where the prices are headed. Winning day trading strategies involve effective indicators to help traders make informed decisions.
For the 15 minute day trading strategy, a combination of Exponential Moving Average indicators (5 EMA and 20 EMA) and the Supertrend Indicator work best. These indicators use current market data to help traders predict prices.
The Moving Average Convergence Divergence or MACD is another excellent indicator for this strategy.
Our xBrat Roller Coaster is a great trading indicator which takes the Stochastic/MACD Cross adds some points of control and gives signals, stops and trailing stops. The chart below shows a 15 minute trading chart for EURUSD with the xBrat Roller Coaster Trades printed on the chart.
15Min Chart Trading Strategy
To execute a 15 min chart trading strategy, the trader must first identify the current market trend using a suitable indicator. Let’s say, you do so for an hour, next you’ll start buying and selling (or vice versa) in 15-minute frames.
Using an average daily range trading strategy involving 15-minute trading bouts, you can make a decent profit.
However, if the market trend upsets, a single loss may be much more than your cumulated profits.
We hope this cleared up things!