EZ Harmonic Trade Instructions

Set your charts to a 15 minute or 15M time frame. When a harmonic pattern
appears with a super signal, do NOT place a trade right away. Instead, confirm
the super signal on a 30 minute (30M), and 1 hour (H) time frames. For greater
accuracy, compare it against a 4 hour (4H) time frame as well. Also, look at the
Support and Resistance (S&R) indicator. It shows various time frames. If the price
does break the support or resistance level for the 15M time frame, look to see
how far the price continues to go outside that price resistance. If the price does
go outside the S&R (line for your time frame) wait until you see the price go back
in the direction of the arrow.

Once the super signal has been confirmed, trade off the 15M chart. Do not place
a trade right away, but since you are on a 15M time frame, wait a few minutes
and watch the price to see if it continues in the opposite direction of the super
signal arrow. Usually the price will continue to go in the opposite direction of the
arrow for at least a few minutes.

When the price begins to go in the direction of the arrow, go ahead a place a
trade with a 50 pip Take Profit (TP). For example, if your current price is 1.98543,
and you place a BUY trade (going up), your TP will be 1.98593 (1.98543 +
0.00050). By setting only a 50 pip TP, you will minimize chances of losses and
guarantee a win almost every time (nobody is perfect).
Do not, do not, do not set a Stop Loss (SL). Quite often the price, even though it
began to go in the direction of the arrow, will suddenly reverse and go severely in
the negative. This is often due to sudden news events or fears in the market. It
has been my experience that all trades will eventually turn around, go positive,
and hit their TP. If the trade does go negative, it could take a few hours or even a
few days for it to reverse, but that is where patience comes in.

More about negative trades... If a trade goes negative severely, say a 1,000 pips,
you need to make sure you have enough equity in your account to cover the
negative balance. If you use a lot size of 0.01 (lowest and recommended for
beginners), then 1,000 pips would be $10. If you don't have at least $10 in equity,
you will blow your account and lose all your money. Here is another example, if
you have $100 in your account and you use a 1.00 lot size and your trade goes
negative 300 pips then that mean you will lose $300 but you only have $100 in
your account. In this example, you would have lost all your money once you hit
the 100 pip level.

So to ensure you do not wipe out your trading account, start with small lot sizes
(0.01, 0.02, etc.) and trade with at least $100 in your account. As you build up
your account, increase your lot size by 0.01 about every $50 in profit you earn. Be
conservative and do not try to get too many pips on each trade and do not use
large lot sizes until you have thousands of dollars (Great British Pound or Euro) in
your account.

Please leave me with any questions you may have!

Thanks,

David Soto