Now that we know the technical concepts behind the London open make sure you only take those setups that align with all the rules exposed throughout this trading guide. But, the good news is that you can take advantage of the New York open using the same rules adapted for the New York breakout strategy.
WHY TRADE THE LONDON SESSION BREAKOUT?
In fact, some trading strategies will involve using the London open and the New York open within the very same day. We specialize in teaching traders of all skill levels how to trade stocks, options, forex, cryptocurrencies, commodities, and more. Our mission is to address the lack of good information for market traders and to simplify trading education by giving readers a detailed plan with step-by-step rules to follow.
Thanks for all efforts you guys do I understood the strategy but I have issue with "Asian session " Is it include Sydney market or Tokyo session only? The Asian session is part of the Sydney session followed by the Tokyo session. Hope this helps! I personaly trade the stratery in sync with the trend and all my orders a set inline with the prevailing trend ,eg if on a downtrend i only look to place sell stop orders. I also use confluence of candle stick patterns.
Automated EA would be fantastic as usually setting off for work during this time based in UK. Hi can I ask for some help please regarding the picture in rule 2. It looks like the time zone shown is London time so the vertical dash line labeled "London open" showing up at 10am, should this not be placed at 8am when London opens?
Also the red shaded box labelled "1 hour before London opens" shows 8 candles on the 15m time frame and so represents 2 hours in total from 8am - 10am. If I've understood the strategy correctly should this box not cover the 7am to 8am window? The diagram makes sense if we apply the range to cover the whole of the Tokyo window which is from 12am - 9am London time so I'm just wondering if I've understood this correctly - should the range in this strategy be covering the whole of the Tokyo session and then applied after it closes in which case the diagram makes sense or is the range only until 7am London time and the look for a breakout between 7am - 8am in which case the diagram doesn't make sense to me?
Many thanks for your help and explanation. I would love to see the automated version of this strategy. Thanks for all your videos - I had to watch this one twice before I fully got it. I trade the five minutely and often see a good run before the London open - thanks to your explanation I can see a reason to exit if it looks like it will reverse rather than wait for my stop to be hit.
A lot of the times it takes many times to get a concept. This method is not the easiest but with a little practice could be big time. The banks love stop hunting. Although the pre open range is important its the directional momentum at the open that is critical. Using the minute time frame look to the price to expand at least 3 times previous candles. Do not trade pre open.
The time stop loss is excellent normally takes on average 30 minutes to reach a point before a pull back. I hope you find this refinement simple and effective. Yes I did read the article and also watched the video that Tim did on it. I used the strategy this morning in the London and New York sessions.
I took 13 trades with 12 wins and 1 loss with a total of Pips. I love how easy it is to find the setups. Yes I would like to trade the LBO and automated. At that time I will be at work but I would givt it a try. It's a good strategy, but as you said, happens when I'm in bed MST for me.
However, I will try to adapt this to the LO to see what happens.
London Breakout Strategy - A Simple way of Day Trading
I'm all about meeting my goals in the shortest amount of time and then move with life. Would definitely be interested in testing an automated or semi-automated strategy and giving you feedback. Would you be more interested in it automatically trading and not an indicator that would shoot out an alert if the rules were met? Thanks for your comment! Excellent strategy. Seen many versions of it. This version is new! And refreshing. Would love for it to be automated? Based on some feedback it seems like automated would be the way to go.
Our current roadmap we are looking at creating the indicator first, but an EA may be a strong possibility. Awesome Paul! If you don't mind we would like to contact you to get a little more feedback with your experience with this strategy. Yes, definitely I'll be interested in a cool little tool to automate this strategy! Thank you. Looking forward. Well, based on majority of comments this would be great for automated trading. We're are highly considering making it automated. Would you try this strategy? Also, any questions that you have about the strategy?
We would love to hear.
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We are working on a trading tool for this strategy and would love some input from our readers! I trade the LBO due to working night shift. Fits into my schedule perfectly. I'd be really interested if this could be automated. I already use the EFC robot so adding this would be awesome. We would plan on developing an indicator first for visual representation. Great comment. Also, it would remove the possible sabotage of the strategy due to fear. We would definitely eliminate all doubt as we will trigger alerts if there was an entry. Yes I would be interested. I saw Tim's video and looked at doing the trade a couple of times but the conditions weren't met on those days.
Would be great to have an automatic entry system. Firstly automated EA would be fantastic for this great system, especially with myself being based in the UK and setting off for work. Do you have any videos that demonstrate this?
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We sure do! Forex Trading for Beginners. Shooting Star Candle Strategy. Swing Trading Strategies That Work. Please log in again. The login page will open in a new tab. After logging in you can close it and return to this page. Info tradingstrategyguides.
Facebook Twitter Youtube Instagram. Actually, breakouts are one of the most popular trading strategies out there. First off, let me explain what is the London open strategy. See below: Table of Contents hide. Author at Trading Strategy Guides Website.
How to Trade London Breakout – GBP/USD Forex Trading Strategy
Lucy says:. December 12, at am. TradingStrategyGuides says:. February 12, at am. Rahman says:. November 16, at am.