Wednesday AUD/JPY strategy — this trading system exploits the certain tendency of AUD/JPY currency pair (Australian dollar vs. Japanese yen) to be statistically bearish during the pre-last hour before the rollover interest is applied on Wednesday.
The particular day of the week was chosen because on Wednesday the rollover is tripled compared to normal days (Sunday and Saturday interests fall on Wednesday). It’s unknown why AUD/JPY, a pair with a traditionally positive rollover interest, is sold 1-2 hours before the overnight swap is applied. Perhaps, traders (hedge funds) with big bullish positions prefer this time to partially close their positions without bothering the markets too much.
Features
- Fundamental base for trading.
- Very simple strategy.
- Statistically perfect.
- Only one trade per week.
- Jump-like changes in the interest rate may affect it.
- Strategy Set-Up
- Trade only on Wednesdays.
- Open an hourly chart of AUD/JPY pair.
- Entry Conditions
- At 15:00 EST (GMT-5 or GMT-4 during daylight saving time) open a Short position.
- No stop-loss or take-profit.
- Exit Conditions
- When the new bar opens (16:00 EST) close your position.
Warning!
Use this strategy at your own risk. forex1971.com can’t be responsible for any losses associated with using any strategy presented on the site. It’s not recommended to use this strategy on the real account without testing it on demo first.
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