I am trying the heikin Ashi chart type for EurUSD. For the short time period I observed, the movement is up and then down by 100 to 230 pips. One occasion it went to 270 pips. If the movement in one direction is >200 pips after several 100 pips fluctuations, then the reveral move is also approx 200 pips atleast.
I tried this out on 04 mar 10. After a 1.3435 (02 mar 10 4 AM) to 1.3735 (4 mar 10 12AM) the reversal started. I had went in after the reversal of 50 pips. The next bar was lower than the previous high. Stochastic slow had crossed over at >80 pointing down. A good indication of the reversal. I didnt try a trailing stop. Instead due to the web platform limitation put in a oco to protect. The stop loss was at the highest previous value. Profit of 100 pips. However I closed at 70 pips profit the next day as no time to watch over it. Eventually it went to 1.3530 before reversing. About 200 pips in my direction. However need to check if this works for previously different market types.
