5/13/62 Strategy

5/13/62 Strategy – Since the dawn of time man has sought ways to more easily provide for himself and his family. And women too, of course! Evolution has always been an equal-opportunity extinction machine.Somewhere along the way, humankind over complicated the struggle for survival. We invented jobs, and bosses, and weekly paychecks. Worse yet, we invented meetings, annual reviews, copy machines, bookkeeping, cubicles, and voice mail.
Then we invented Prosac and Lipitor and Viagra because, somewhere along the way, our bodies decided that if we didn’t give them a rest they would start shutting down essential functions.This ebook is my attempt to teach you that you don’t have to take a pill in order to be a great trader. You just need to focus on some simple tools. But first we need to talk about something totally separate from trading.

Her name was Carrie.

She was the first girl I thought I liked, or loved, or whatever. She sat next to me in a 7th grade class. I don’t remember much about the class,mostly because I was spending so much time concentrating on Carrie. Most of the time, she was my friend. Except when we were outside of class.Outside of class, she paid no attention to me. She ignored me. If she ever talked to me, she made fun of me, refused to spend time with me (or even admit I existed). Of course this only made matters worse. All of this only made me want her more. Carrie moved away after the 7th grade.

5 years later I found myself standing behind her at the market.Every feeling I’d ever had for her returned instantly.

I was so entranced that I watched her as she left the drugstore, got into her car, and pulled out of the parking lot. Just when I thought that she neither remembered me, or even noticed me, she turned around,rolled down her window, and blew me a kiss. My heart jumped into my throat and I felt weak.I never saw Carrie again.

You know what a pip is already. For purposes of this booklet,we’re drawing it as a yellow cube. Do you know that most forex traders spend their careers chasing after pips in the same way I chased after Carrie’s attention? She never gave it to me, unless (at the end) it was to blow me a teasing goodbye kiss. She had received all the benefit from
my attention and never gave anything back except a blow to my selfes teem. Gosh, that sounds a lot like when I first traded currency – and the pips teased me until they simply moved away in the end, with a good-bye kiss.

Have you ever watched the market and wondered why the harder you tried, the more quickly the pips distanced themselves from you? I remember when I first started trading that the market would move away from me and I would begin to think: it’s moving. Why is it moving away from me? Couldn’t it just as easily move in my direction?
For a while, I made money on gut decisions. I’d make some progress, a few pips or more a day, but never really understand the

signals. For instance, I’d make a profit just barely, and watch in horror / relief as the market swung the opposite way right after I exited the trade.Or I’d enter a trade, lose a bunch of pips, and then exit the position at a loss – only to watch the market swing back in my favor. Only, of course, the position was closed and all I could do was sit there and
watch, just like I had stood in the parking lot of the drugstore, watching Carrie blow that goodbye kiss.

What I learned
Until you’re no longer impressed with pips – no longer frightened by them, nor infatuated by them, not in love with them, no longer simply hating them – they won’t give you the time of day. The acquisition of pips is your only goal in the currency market. But pips are fickle and if you pursue them full of emotion, you’re going to get burned.I learned in the drugstore that day 20 years ago that Carrie would have paid attention to me if I had simply ignored her every once in a while. If I had been able to get my feelings under control. If I’d been able to act cool instead of like a freak. If I’d been able to calmly make a plan, stick to it. But I could do none of those things. My emotions took hold of me and turned me into an idiot.
It’s the same for pips. We all want them. We all want as many of them as we can get. But some of us are willing to risk everything for just a few of them. We’ll chase after them like a 12-year old boy. And you know what? They don’t give a damn about you and me.This ebook will present a plan for learning about pips, where they’re going, what they’re about to do, and then arm you with a strategy that once implemented, can take a lot of the emotion out of trading.
Your goal will be to:
1. Enter positions as soon as a particular signal is given.
2. Exit the position as soon as a particular signal is given.
The payoff will be:
1. The emotion should be gone from the trading. You will enter and exit trades with discipline and focus.

2. You’ll get about 20 pips on the good trades. There will be many more good trades than bad ones.

Attitude is 99% of Trading
Developing the right attitude about your trading is most of the work. Once you get your attitude (your discipline) under control, you’re going to have more pips than you know what to do with. So much has been written about this that you’d think that you’ve already heard enough about it. I’ve written about it elsewhere, too1, but I’ve got to
stress that no technique or strategy is worth more than the discipline you have to implement it.
The 5/13/62 strategy requires discipline. This is the most powerful personal characteristic you can acquire. Period. It will earn you more money and success than any other attitude or personality trait. If you’re low on discipline, please take the time to consider what I’m saying:

In trading, discipline simply means two things:
1.Enter a position as soon as a particular signal is given.
2. Exit the position as soon as a particular signal is given.
If you do not acquire discipline, this system will not work for you.No trading system will work for you. But this isn’t a book about discipline. In fact, this book assumes that you have discipline, or you’re willing to acquire in order to implement a profitable trading system. So, for the purpose of this discussion, and for the testing of this strategy, please be disciplined – even as you practice.

EMAs are the core of the 5/13/62 Strategy
Exponential Moving Averages (described in more detail below) are at the core of tis strategy. From the beginning you should understand that I didn’t invent the 5/13/62 strategy. At least I don’t think I did. There are some extras that I add in, but essentially, all of this information is available elsewhere. That said, I believe that most of the people that
write about forex have a way of putting you and I to sleep. So maybe this is the first time you’ve heard about it, but in any event, I’ll try to keep it interesting.

Here’s where we start. With a chart:

If the chart above doesn’t make any sense to you, even with the legend, then here’s a brief explanation:
1. The candles are easy to read. Green ones are ones that closed lower. White ones closed higher.
2. The EMA lines are crossing at the left. The 5 (red) crosses below the 13 (the yellow) and both the 5 and 13 are crossing the 62 (the blue one).
3. You can see that in this chart, the British Pound fell about 110 pips in less than a day.
That’s the chart. What can we learn immediately?
1. When the 5 crosses below the 13, and both of them cross below the 62, it’s possibly a good sell signal.
2. Inversely, we can assume that the opposite is true: when the 5 crosses above the 13, and both cross above the 62, it’s a buy signal.
What is the EMA?

Moving averages are the average value of the price of a currency pair, over a certain period of time. A 5-day moving average for the EUR/USD would be the average price of the EUR/USD over a 5 day period. You can base the average on the closing, opening, or other price. Each time the MA is calculated, the earliest period is dropped and the latest period is added. In this way, the average price fluctuates according to the fixed time period.
The exponential moving average (EMA) puts the emphasis on the most recent prices, and less emphasis on the older prices. Sometimes you won’t see much difference between the EMA and the Simple Moving Average, which does not weigh any price more than another.

Is that it? Do I just look for the crosses?
I have back tested (and so have many, many others) simply buying when the signals cross above and selling when the signals cross below.There are even companies that build trading robots that will automatically buy and sell when these signals are given. But, as much as I’d like to say differently, it’s not that easy.There are all types of false signals (crosses that happen but that don’t turn profitable).Here are some other principles of this strategy, divided in three sections: entering the trade, staying in the trade, exiting the trade. The principles of each section will help you maximize your gains and minimize your losses.

Author: R. Booker

To read More,Please download the book.

5/13/62 Strategy, 5/13/62 Strategy ebook, binary options learn, binary options strategy pdf, binary options trader, binary trading strategies pdf, Download 5/13/62 Strategy, EMA, EUR/USD, forex bonus without deposit, Forex Broker, forex broker bonus, forex learn, forex learning, forex learning pdf, forex trading learn, forex tutorials for beginners pdf, how to trade forex for beginners pdf, learn binary, learn forex market, learn forex market trading, learning forex trading online, learning forex trading pdf, trading binary options strategies and tactics pdf free, What is the EMA?