Forex Trading Tips: MARS trading plan

Let us start with EURGBP daily chart

If you only can trade this pair what is your plan? Are you done?

Okay, here's mine:

I trade forex with my own strategy, I named it MARS (Moving Average Resistance Support). The MARS rely on weekly time frame. The MARS needs two ingredients, first Moving Average, second price level. Below you can see EURGBP weekly chart with three moving average. 

The red MA represent 200 Moving Average. The blue is 50MA and the yellow is 20MA. 

Look at the last candle. It stop below the 200MA.

Now, I need to find support or resistance to setup my trade. To do this I'll use http://marstrading.blogspot.ae/2015/08/3-rule-to-draw-perfect-support-and.html?m=0

In the weekly chart I can't fine a good price level. So I switch it into monthly time frame.

Binggo. 

In the monthly chart I found three spots   I can use it to draw my price level and because it's above the price, we called it resistance level. 

My resistance level is the white line. 

Now, my chart was completed.

Because I use weekly time frame to trade. Let go back to weekly EURGBP price movement. 

Wow. Binggo. 

The price touched the resistance line and go down. It's common behavior. 

My plan is simple:

I'll wait till the pair show me one of these two things:

1. Rejected the line

If the pair respected the level I'll open sell

2. Break the line

If the pair denied the line I'll open buy 

Buy and sell is based on price action. You can wait till big bull candle or engulfing or big belt candle appear.

ENJOY YOUR TRADED 

Forex Trading Secret: The power of HIGHER TIME FRAME

I found a very good example to explain this.
I'll use GBPUSD, let get start with GBPUSD daily time frame

what is in your mind when you saw this?
most of you may said the pair has a down trend.
yes you were right. After that you will set up your trading and find sell signal

next, let see GBPUSD price movement at weekly time frame

wow, it give you the same conclusion, but wait a second.
let see monthly time frame

can you see something?
i'll make it more clearly with this chart

is that clear?
no?
i'm talking about price level in a higher time frame. It's all about support and resistance.
here we go:
when you evaluate currency, the first thing you need in your chart isn't the indicator's. You should mapping the currency by adding one or more price level, it can be support or resistance (3 rule to draw support and resistance level).
This level become your potential entry spot. With this level you can make your own trading plan.

So what happen to the GBPUSD:
THE PAIR now around the support level. Look at the chart below

The pair test the support level in 2001, 2009 (you can move your chart to the left to see it) and now in 2016 the pairs retest it once more.

I believe that GBPUSD will rejected to break this support. So after touching it, GBPUSD will rice again like what happen in 2001 and 2009. But we should wait for a confirmation that the market respect this level.

Friday, 4 Marc 2016, again , GBPUSD denied to go down further. The result is buy signal for GBPUSD

it doesn't mean that my analysis was 100 percent right. We buy now, but if the pair break the support, i will open sell. Only a very bad news will make it happen.

I use MARS trading strategy.
MARS use weekly time frame to analyze and entry the trade

enjoy your trade!