Trading ADX magenta peak on USDJPY off the 240-minute chart using a 15-minute chart for entry is shown in this video.
Trading ADX Magenta Peak on USDJPY
If you have the TradersHelpDesk indicators then you know that the ADX magenta peaks kicks off the pullback to the ATR. Although trading the ADX magenta peak is not recommended on a short term basis (under a 45 minute chart), a MP on a higher timeframe is ideal. In this case, Gail Mercer, founder of TradersHelpDesk shows you how trading ADX magenta peak on USDJPY can be profitable using the trade setup on the 15-minute chart.
Gail enters the USDJPY short using Nadex binary options after a test of the ATR reveals volume divergence to the downside (a decrease in buying volume was evident) with the Stochastics showing that the market was overbought. If using the ATR SR indicator, then it clearly showed that price was testing both the 15 and 30 minute ATR (with a decreasing in buyers). This resistance formation, when trading the ADX magenta peak on USDJPY or other markets, indicates that price will move down. Her risk per contract was $30. She sat a profit target at $20 for a gain of $50 per contract.
The indicators needed for trading ADX magenta peak on USDJPY are the TradersHelpDesk ADX, Stochastics, and either the Trend ATR or the ATR Support and Resistance (ATR SR) indicators.