This is one of the most interesting and easy to understand system.it only uses three indicators which are: the sixth, stochastics, Squalou Steve’s Trade Signal and the Bollinger indicators.
It is advisable that if you are using this trading system then you should use the M5 and above timeframe.
Fig.the FTLR Trading System components.
Once the system is downloaded sand loaded onto the trading chart, the various indicators that are used in the system are displayed automatically on the chart.just like the other systems this system is loaded by right clicking on the chart and clicking on template and choosing the ftlr modified template.
The squalou and Steve’s Trade indiacator is displayed as arrows.then there is the bollinnegr band that serves to show the trend of the market prices.then you will notice that there are tow stochastic charts displayed.one of the stochastic is of the 14,5,5 range while the other is of the 5,3,3 range.
There is also another indicator that is called the sixth.this incidator get the high prices and low prices of the previous bars and divide the resulting figure into by six resulting to six sixths. The onesixth and the fifth sixth line are yellow in color while the second and the thrid sixth lines are green.
How to use this system in trading.
Once you are familiar with the use of all the used indicators ( FTLR Trading System) then you can be well prepared to trade. However since this trading system doesn’t involve very many indicators, you can learn it in a very short period and start making profit with it.
- How to know when to place a buy order:
Fist ensure that the market prices or the bars are below the bottom green sixth line, which is the second sixth horizontal line. Then the lower line of the Bollinger band must also be below the second or the lower green sixth horizontal line. Then the Stochastic (14, 5, 5) which has only one blue line must be below or equal to the level of 15. Then lastly the stochastics (5, 3, 3) must below or equal to the level of 20.
Fig.trading using FTLR Trading System
- How to know when to place a sell order:
Fist ensure that the market prices or the bars are above the top green sixth line, which is the third sixth horizontal line. Then the lower line of the Bollinger band must also be above the third or the top green sixth horizontal line. Then the Stochastic (14, 5, 5) which has only one blue line must be above or equal to the level of 85. Then lastly the stochastics (5, 3, 3) must above or equal to the level of 85.
By looking at this procedure you should be able to notice that the buy order is placed when the market is at its lowest and the sell when the market is at its highest, as the market swing. When you sell when the market is at its highest point just before it retraces then you are about to make big profit and opposite the same applies to the buying.
Note: no trading should be carried out when the market is in between the two green horizontal lines.
Download Free FTLR Trading System